The cost of mitigation revisited

Empirically grounded technology forecasts and the energy transition

“…Our quantitative analysis supports other recent efforts using up-to-date data and technology assumptions that conclude that the green energy transition may be cheap. [16][17][18][19][68][69][70][71] The 2022 IPCC AR6 estimates that the additional cost of decarbonizing the energy system in order to have a greater than 67% chance of keeping warming below 2 C corresponds to a GDP loss in 2050 of 1.3%-2.7%. 40 Our results suggest that there is likely no cost at all-the transition is expected to be a net economic benefit, raising future GDP.…”

Trade and Sustainable Development: Non-Economic Objectives in the Theory of Economic Policy

“…It would also help address the related challenge of messaging surrounding the assessment of potential policy impact, a point stressed by Finger (1981). In the case of climate policy, Köberle et al (2021) argue for changes in the framing of policy experiments and in the communication of the costs of policy inaction. 29 This will be important in the upcoming challenges posed to trade policy by the move to carbon border taxes (specifically CO2) on traded goods, and the analysis and framing of such analysis in the policy debate and likely trade litigation.…”

What do economic damage estimates tell us about financing loss and damage?

“…Nonuse and non-anthropogenic values of natural capital are also not included. Furthermore, research on loss and damage should not only look at the damages of climate change but also consider possible costs related to emission reductions, especially for regions with ambitious climate targets and policies -though these are likely to be smaller than residual impact and will be driven by the design of mitigation policies 16 . Finally, as the balance of economic growth and of emissions change between regions over time, the framework for determining the fund contributors and beneficiaries needs to adjust dynamically and need to account for future projections and their uncertainties 17 .…”