The Political Economy of Private Management of High Impact Low Probability Risks in Finance and the Environment

An increasing number of sustainability problems involve the risks of transnational High Impact Low Probability (HILP) events. The Centre for Risk Studies at the University of Cambridge has usefully identified 12 categories of HILP events, which they label “macro-threats”: financial shock, trade disputes, geopolitical conflict, political violence, natural catastrophe, climatic catastrophe, environmental catastrophe, technological catastrophe, …