Summary

Capitalism can address climate change by recognizing that companies and financial markets are inherently short-term focused and do not adequately price in environmental externalities. Long-term investors, however, have a vested interest in a resilient economy and must invest conviction capital in climate solutions, a process that requires internal company rewiring and supportive, long-term public policy like carbon pricing. The key takeaway is that persistent policy, clear signals, and a focus on continuous improvement ("better") are essential to align market forces with sustainable long-term economic growth.