The Macroeconomic Implications of a Transition to Zero Net Emissions : A Modeling Framework / Stephane Hallegatte [and three others].

Format:

Book

Author/Creator:

Hallegatte, Stephane, author.

Language:

English

Subjects (All):

Macroeconomics.

Physical Description:

1 online resource (31 pages)

Other Title:

Macroeconomic Implications of a Transition to Zero Net Emissions

Place of Publication:

Washington, D.C. : World Bank, 2023.

Summary:

Analyzing the macroeconomic consequences of a transition to a net-zero economy creates specific modeling challenges, including those related to the non-marginal nature of the required transformation, the role of technologies, and the replacement of fossil fuel-based assets with greener ones. To address these challenges, this paper proposes a hybrid modeling approach that starts from a set of sectoral techno-economic scenarios to construct an illustrative resilient and net-zero decarbonization trajectory. It then assesses the macroeconomic implications by linking sectoral dynamics to two macroeconomic frameworks: a multisector general equilibrium framework and an aggregate macrostructural model. This approach combines the advantages of multiple tools and captures the various dimensions of the transition, including the need to tackle simultaneously multiple market failures beyond the carbon externality.

Notes:

Description based on publisher supplied metadata and other sources.

Publisher Number:

10.1596/1813-9450-10367