Joint work with Masako Ikefuji and Jan R. Magnus.


This paper studies the interplay between climate, health, and the economy in a stylized world with eleven heterogeneous regions, with special emphasis on USA, Europe, China, India, and Africa. We introduce health impacts into a simple economic integrated assessment model where both the local cooling effect of SO2 and the global warming effect of CO2 are endogenous, and investigate how these factors affect the equilibrium path. Regions do not respond in the same way to climate change. In particular, emission abatement rates and health costs depend on the economic and geographical characteristics of each region. Two policy scenarios are considered, Nash and Optimal, for which we present both global and regional results. Results for Africa and China are highlighted.


  • 2015-07: Typo corrected
  • 2014-07: Published


There is a typo in the supplement to this paper. (pointed out by Mariia Belaia of Hamburg University)

The data listed in tables 12 and 13 in the background document are outdated and hence do not match those presented in figures 9 and 10. The correct version of the tables, which was used for the results of the paper, can be found here.

My co-authors and I thank Mariia for the careful reading of the supplement.