Tamma Carleton, Michael Greenstone

Since its release in 2010, the United States government’s Social Cost of Carbon (SCC) has played a central role in climate policy both domestically and internationally. However, rapid progress in climate science and economics over the last decade mean that it is no longer based on the frontier of understanding. Specifically, extensive new research about the climate, economy, and their relationship has altered understanding about the magnitudes of the projected physical and economic impacts of climate change, as well as their heterogeneity across space and time. This paper provides concrete recommendations on how to rebuild the SCC based on these new advances and return it to the scientific frontier.

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Areas of Focus: Social Cost of Carbon
Definition
Social Cost of Carbon
The social cost of carbon is an essential tool for incorporating the cost of climate change into policy-making, corporate planning and investment decisionmaking in the United States and around the...
Energy Markets
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Energy Markets
Well-functioning markets are essential for providing access to reliable, affordable energy. EPIC research is uncovering the policies, prices and information needed to help energy markets work efficiently.
Fossil Fuels
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Fossil Fuels
Under current policies, fossil fuels will play an important role in the energy system for the foreseeable future. EPIC research is exploring the costs and benefits of these fuels as...
Climate Impact Lab
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Climate Impact Lab
Climate change is already altering lives every day. The Climate Impact Lab is building the world’s most comprehensive body of research quantifying the impacts of climate change sector-by-sector, community-by-community, around...