AN INTEGRATED ASSESSMENT MODEL OF ECONOMY-ENERGY-CLIMATE – THE MODEL WIAGEM: A COMMENT
Authors
Roberto Roson
Venice University
Richard SJ Tol
Hamburg University
Keywords:
climate change impacts, general equilibrium, economic growth
Abstract
This paper comments a paper by Claudia Kemfert (Integrated Assessment, 3 (4), 281-289), which estimates the general equilibrium and growth effects of the impact of climate change on the economy. Although Kemfert uses a computable general equilibrium model, she does not separate direct costs, partial equilibrium effects, and general equilibrium effects. Interpreting all climate change impacts as shocks to investment, Kemfert disregards the sectoral and regional distribution of impacts. For the same reason, she drastically overestimates the growth effects of climate change.
