Although the greenhouse effect is by many considered as one of the most serious environmental problems, several economic studies of the greenhouse effect, most notably Nordhaus's DICE model, suggest that it is optimal to allow the emissions of greenhouse gases (GHG) to increase by a factor of...

Equity considerations may justify the use of weight factors when estimating the costs of climate change. This paper reviews different weight factors that have been used in the climate economics literature. Based on a simple model, it is shown that although the different weight factors imply...

Insurance companies are a prominent mechanism for risk transfers. Many initiatives are looking toward private–public partnerships and new risk-management instruments to provide a cushion for climate change-related effects. For this aspiration to be fulfilled, insurers and institutions within...