Climate change impacts in computable general equilibrium models: An overview
This paper gives an overview about existing Computable General Equilibrium (CGE) models dealing with climate impacts focusing on damage calculations and adaptation modelling. Empirical CGE models are used in a broad field of policy analysis. With respect to climate change applications have been focused on the calculation of climate damages and the mitigation of these damages. Facing the non-preventable damages from climate change that occur already in the next decades adaptation is becoming a more important issue in the actual discussion. To our knowledge a model with explicit adaptation at the local level that includes socio-economic effects is missing. Such a regional model can analyse welfare effects where adaptation is implemented and therefore is important for political decision making.
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