Thursday, December 4, 2008

Uncertainty and climate change policy

Source: Economic analysis and policy, vol. 38,no.2 (2008)
"This paper consists of a summary of the main sources of uncertainty about climate change, and a discussion of the major implications for economic analysis and the formulation of climate policy. Uncertainty typically implies that the optimal policy is more risk-averse than otherwise, and therefore enhances the case for action to mitigate climate change."