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Adaptation, Mitigation and Innovation: A Comprehensive Approach to Climate Policy

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Author Info

  • Carlo Carraro

    ()
    (Department of Economics, University Of Venice Cà Foscari)

  • Shardul Agrawala

    ()
    (OECD)

  • Francesco Bosello

    ()
    (University of Milan, Fondazione Enrico Mattei, and CMCC)

  • Enrica De Cian

    ()
    (University of Venice, Fondazione Enrico Mattei)

Abstract

The ultimate question that most interests policy makers is how to reduce the climate change vulnerability of socio-economic systems in the most cost-effective manner. Extended literature has investigated the different dimensions of mitigation strategies, whereas much less can be found on adaptation. Even less can be found on the interactions between adaptation and mitigation. The increasing emphasis on adaptation raises a set of still unanswered questions concerning the design of an optimal mix of mitigation and adaptation measures. This paper presents an Integrated Assessment Model (IAM) that explicitly models the connections between mitigation, climate change impacts and adaptation. Compared to the few existing studies in the field, our framework provides a more detailed characterisation of adaptation processes. Adaptation activities have been distinguished from adaptive capacity building. We also provide an updated quantitative support for the calibration of adaptation costs and benefits. Using this framework, we explore issues such as the optimal timing of mitigation and adaptation, the trade-off between mitigation and adaptation, and the regional distribution of investments and residual damage.

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Bibliographic Info

Paper provided by Department of Economics, University of Venice "Ca' Foscari" in its series Working Papers with number 2009_25.

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Length: 86
Date of creation: 2009
Date of revision:
Handle: RePEc:ven:wpaper:2009_25

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Keywords: Climate change impacts; mitigation; adaptation; integrated assessment model;

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Cited by:
  1. Heuson, Clemens & Gawel, Erik & Gebhardt, Oliver & Hansjürgens, Bernd & Lehmann, Paul & Meyer, Volker & Schwarze, Reimund, 2012. "Fundamental questions on the economics of climate adaptation: Outlines of a new research programme," UFZ Reports, Helmholtz Centre for Environmental Research (UFZ) 05/2012, Helmholtz Centre for Environmental Research (UFZ).
  2. Heuson, Clemens & Gawel, Erik & Gebhardt, Oliver & Hansjürgens, Bernd & Lehmann, Paul & Meyer, Volker & Schwarze, Reimund, 2012. "Ökonomische Grundfragen der Klimaanpassung: Umrisse eines neuen Forschungsprogramms," UFZ Reports, Helmholtz Centre for Environmental Research (UFZ) 02/2012, Helmholtz Centre for Environmental Research (UFZ).

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