In this paper we examine the evidence for the IPCC (Intergovernmental Panel on Climate Change) estimate that the costs of global climate change will be on the order of 1.5-2.0% of world gross domestic product (GDP). Although this estimate is widely and authoritatively repeated, it rests on a handful of preliminary studies, chiefly of the United States and performed by a select group of economis...

Geoengineering can be de ned as the technologies that aim to deliberately alter geophysical mechanisms in order to alleviate the impacts of climate change. It has received increasing attention by economists and the public but remains deeply controversial. This paper studies the potential bene ts from geoengineering in a standard one-sector growth model augmented with a carbon cycle and a climat...