The Effect of Monetary Policy and Private Investment on Green Finance: Evidence from Hungary

Round 1

Reviewer 1 Report

General remarks:

1. The abstract provides a summary of the paper.  The authors could better highlight the contribution of the paper in the abstract.

 

2. Motivation and contribution is the major weakness of the paper.

 

3. literature review are insufficient written and frame correctly the contribution in current relevant research on the topic.

        On the other hand, publications from 2021 are in the literature, e.g.

 

Climate Risk with Particular Emphasis on the Relationship with Credit-Risk Assessment: What We Learn from Poland, N Nehrebecka, Energies 14 (23), 8070

 

4. The literature review does not end with an indication of the added value of the current research in the actual literature.

 

5. My main concern is the lack of a methodological section explaining how exactly the different approaches to green finance and green monetary policy have been classified.

 

6. Please correct the presented equations.

 

7. It is not clear what data is used to analyze the data panel or time series.

 

8. There is no detailed description of the research sample. Show descriptive statistics. If these are the series of the basic charts.

 

Author Response

We would like to thank the reviewer for the kind comments, and suggestions regarding the manuscript. Here with we attached our reflection on the comments and suggestions. 

Author Response File: Author Response.docx

Reviewer 2 Report

The article addresses a highly topical issue and applies an appropriate methodology to a specific case study. I think it is good work and can be published.

It would be interesting to clarify why the period 2013-2020 has been chosen, and as a general reflection, I would like to know the authors' views on the possibility of investment errors or misallocation of resources as a result of certain public incentives in the implementation of the decarbonisation process, specifically those related to electric vehicles.

A reference to include in the article on this topic would be:

Reimers, P. (2021). The subsidized green revolution: The impact of public incentives on the automotive industry to promote alternative fuel vehicles (afvs) in the period from 2010 to 2018. Energies, 14(18), 5765. https://doi.org/10.3390/en14185765

On the other hand, can expansionary policies generate bubbles in these sectors?, it would be interesting to raise this issue. A reference on this issue would be:

Echarte Fernández, M. Á., Náñez Alonso, S. L., Reier Forradellas, R., & Jorge-Vázquez, J. (2022). From the Great Recession to the COVID-19 Pandemic: The risk of expansionary monetary policies. Risks, 10(2), 23. https://doi.org/10.3390/risks10020023

Author Response

We would like to thank the reviewer for the kind comments, and suggestion. Here with we have attached our reflection on the suggestions.

Author Response File: Author Response.docx

Round 2

Reviewer 1 Report

Dear Author,

Thank you very much. I accept your paper.