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Large-scale models

Use of energy-environment-economy models to inform greenhouse gas mitigation policy

Pages 123-131 | Published online: 01 Nov 2012
 

Abstract

Greenhouse gas emissions from human activity are threatening the stability of the global climate. Various governments and international bodies have initiated a substantial research programme constructing, developing and using energy-environment-economy (E3) models, intended to help the formulation of equitable, efficient and effective policies to abate the emissions. This paper presents criteria for evaluating the models and results being used to inform assessment and policy-making for greenhouse gas abatement. In particular, it compares the methodology of two approaches to E3 analysis: econometric models based on a synthesis of theory and data, and computable general equilibrium models with their emphasis on quantifying economic theory.

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