Inequality, climate impacts on the future poor, and carbon prices.

Abstract:

:Integrated assessment models of climate and the economy provide estimates of the social cost of carbon and inform climate policy. We create a variant of the Regional Integrated model of Climate and the Economy (RICE)-a regionally disaggregated version of the Dynamic Integrated model of Climate and the Economy (DICE)-in which we introduce a more fine-grained representation of economic inequalities within the model's regions. This allows us to model the common observation that climate change impacts are not evenly distributed within regions and that poorer people are more vulnerable than the rest of the population. Our results suggest that this is important to the social cost of carbon-as significant, potentially, for the optimal carbon price as the debate between Stern and Nordhaus on discounting.

authors

Dennig F,Budolfson MB,Fleurbaey M,Siebert A,Socolow RH

doi

10.1073/pnas.1513967112

subject

Has Abstract

pub_date

2015-12-29 00:00:00

pages

15827-32

issue

52

eissn

0027-8424

issn

1091-6490

pii

1513967112

journal_volume

112

pub_type

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