Leave the car at home, take the income. For years, City Observatory has calculated that Portland earns a billion dollar a year “green dividend” because it enables local residents to drive about 20 percent less than the typical urban American. Portland’s Mayor effectively argued that the city can earn an even bigger green dividend if it further reduces the amount of driving in the region

The modern financial system is complex, with funding flowing not just from the financial sector to the real sector but within the financial sector through an intricate network of financial claims. While much of our work focuses on understanding the end result of these flows—credit provided to the real sector—we explore in this post how accounting for interlinkages across the financial sector changes our perception of who finances credit to the real sector.