The dangers of global warming are increasingly evident—extreme weather, rising sea levels, wildfires, and melting glaciers—but there hasn’t been sufficient political will to take the steps needed to keep temperatures from rising more than 2 degrees Celsius, which scientists deem essential.
To examine the economic case for moving sooner rather than later, the Hutchins Center on Fiscal and Monetary Policy and the Center on Regulation and Markets at Brookings convened a virtual conference on March 6 to discuss two recent papers. The first, by the IMF’s Tobias Adrian and coauthors, focuses on the benefits of phasing out coal as an energy source. Following the presentation, the World Bank’s Carolyn Fischer reacted. The second, by Hutchins Nonresident Senior Fellow Glenn Rudebusch and coauthors, quantifies the inverse relationship between carbon prices and future temperatures, illustrating how climate policy choices determine climate outcomes. Following that presentation, Irene Monasterolo of EDHEC Business School responded. All four participated in a panel discussion on the broader implications of these issues.