Contributor(s): Professor Lord Stern | Five years on from the Stern Review there have been important changes in the world which are likely to have a profound impact on our response to the two defining challenges of the century; overcoming poverty and managing climate change. Lord Stern will discuss how we can bring economics and political economy to the analysis of our response to these challenges in the context of a special but difficult decade in the global economy. The analysis of climate change has seen risk and the new-energy-industrial revolution move up the agenda in recent years, and we have learned more about prospects and mechanisms of collaboration. We require a deepening of the understanding of public policy for promoting the dynamics of transformation and managing immense risks. This should include a strong focus on key market failures. In this series of lectures, Lord Stern will outline the attractiveness of the new energy-industrial revolution and of low-carbon growth and will discuss how we can build the necessary national and international action to respond to the two defining challenges. This is the third of the three lectures, the others take place on 21 and 22 February. Nicholas Stern is IG Patel Professor of Economics and Government, and Chair of the Grantham Research Institute on Climate Change and the Environment, LSE. John Van Reenen is Director of the Centre for Economic Performance, LSE.