As Bad as it Gets: How Climate Damage Functions Affect Growth and the Social Cost of Carbon
- Publisher: Zurich: ETH Zurich, CER-ETH - Center of Economic Research
Climate damages; Social cost of carbon; Endogenous growth; Polynomial functions | Q43 | Economics | O47 | Q56 | polynomial functions | endogenous growth | Climate damages | O41 | social cost of carbon
The paper analyzes the effects of varying climate impacts on the social cost of carbon and economic growth. We use polynomial damage functions in a model of an endogenously growing two-sector economy. The framework includes nonrenewable natural resources which cause gre...