We explore the role of public subsidies in mitigating the transition risk associated with a climate-neutral objective … by 2060. We develop and estimate an environmental dynamic stochastic general equilibrium model for the world economy …

A Climate Change Damage Function (CCDF) is a reduced form relationship linking macroeconomic aggregates (e ….g., potential GDP) to climate indicators (e.g., average temperature levels). This function is used in a variety of studies about … climate change impacts and policy analysis. However, despite the fact that this function is key in determining results in many …