We study how the scarcity of non-market goods, such as environmental amenities, affects the economic appraisal of climate policy. To this end, we perform a comprehensive analysis of the change in relative prices of non-market goods in the widespread climate-economy model DICE. We show that DICE...

We model countries' choice of greenhouse gas (GHG) emissions as a dynamic game. Emissions generate immediate benefits to the emitting country but also increase atmospheric GHG concentrations that negatively affect present and future welfare of all countries. Because there are no international...

In dealing with climate change, how much should governments focus their effort on mitigation (emission reduction to prevent climate change) and on adaptation (coping with a changed climate)? Very little research has gone into pinning down which strategy is dynamically optimal under what kind of...

Copenhagen Consensus Center organized an initiative, in which an Expert Panel of outstanding economists convened in Washington DC in September 2009 to compile a prioritized list of specific solutions in the fight against Climate Change. The basis for the discussions and the ranking were...

Momentum may be building for federal climate change policy in the United States. Assuming this leads to mandatory greenhouse gas regulations, the door will be open for the United States to constructively re-engage other countries concerning an international climate regime. Such a regime will...

Economic evaluation of climate policy is notoriously dependent on assumptions about time and risk preferences, since reducing greenhouse gas emissions today has a highly uncertain pay-off, far into the future. These assumptions have always been much debated. Rather than occupy a position in this...

We couple a spatially homogeneous energy balance climate model with an economic growth model which incorporates two potential policies against climate change: mitigation, which is the traditional policy, and geoengineering. We analyze the optimal policy mix of geoengineering and mitigation in...

This paper considers the challenges to the field of public economics that arise from the issue of global warming. It outlines the argument for viewing the global climate as a public good and describes the problems that emerge when one tries to apply the insights of public goods theory to global...