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Adaptation to Climate Change: Formulating Policy under Uncertainty

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  • Leo Dobes

    (Crawford School of Public Policy, The Australian National University)

Abstract

Economists were able to formulate and recommend policy approaches for reducing emissions of greenhouse gases (mitigation) by drawing on an existing body of economic theory related to externalities. However, no comparably straightforward approach has yet emerged in the adaptation literature, possibly due to the diffuse nature of climatic effects that may occur in very diverse geographical locations. By acknowledging that the hallmark of future climate change effects is uncertainty, rather than readily identifiable and deterministic outcomes, it is possible to formulate coherent policy approaches. Recognising that there are differing degrees of uncertainty is a key aspect to making policy formulation more realistic.

Suggested Citation

  • Leo Dobes, 2012. "Adaptation to Climate Change: Formulating Policy under Uncertainty," CCEP Working Papers 1201, Centre for Climate & Energy Policy, Crawford School of Public Policy, The Australian National University.
    • Handle: RePEc:een:ccepwp:1201
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    File URL: http://ccep.anu.edu.au/data/2012/pdf/wpaper/CCEP1201Dobes.pdf
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    References listed on IDEAS

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    Blog mentions

    As found by EconAcademics.org, the blog aggregator for Economics research:
    1. Climate Change Adaptation in Pacific island countries: Donors, Big Men, Real Options
      by Matthew Dornan in Development Policy Blog on 2012-02-01 01:00:17
    2. Crawford School Working Papers in January 2012
      by David Stern in Stochastic Trend on 2012-02-03 00:03:00
    3. Top Three Crawford Working Papers in March 2012
      by David Stern in Stochastic Trend on 2012-04-02 15:14:00

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    Cited by:

    1. World Bank, 2014. "Climate Change Public Expenditure and Institutional Review Sourcebook," World Bank Publications - Reports 37953, The World Bank Group.

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    More about this item

    Keywords

    adaptation; climate change; risk; uncertainty; unknown unknowns;
    All these keywords.

    JEL classification:

    • G11 - Financial Economics - - General Financial Markets - - - Portfolio Choice; Investment Decisions
    • H43 - Public Economics - - Publicly Provided Goods - - - Project Evaluation; Social Discount Rate
    • O44 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Environment and Growth
    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming

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