Countries have pledged to stabilize global warming at a 1.5 to 2°C increase. Either target requires reaching net zero emissions before the end of the century, which implies a major transformation of the economic system. This paper reviews the literature on how policymakers can design climate...

This paper uses a Ramsey model with two types of capital to analyze the optimal transition to clean capital when polluting investment is irreversible. The cost of climate mitigation decomposes as a technical cost of using clean instead of polluting capital and a transition cost from the...

This paper investigates the costs and benefits of three ex ante flood management strategies - risk-based insurance, zoning, and subsidized insurance - in an urban economics framework that takes land scarcity into account. In a theoretical setting and in the absence of market failures, risk-based...