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In the global climate policy debate, it is crucial to be transparent about the ethical assumptions used in climate economics models. This article focuses on Negishi weights, a common feature of integrated assessment models (IAMs) that freeze the current distribution of income between world regions.
Without this constraint, IAMs that maximize global welfare would recommend an equalization of income across regions as part of their policy advice. With Negishi weights in place, these models instead recommend a course of action that would be optimal only in a world in which global income redistribution cannot and will not take place.
This article describes the Negishi procedure and its origin in theoretical and applied welfare economics, and discusses the policy implications of its use and possible alternatives.
Download paper (pdf, 362 kb)
Perspective / Gary Haq reflects on the European Court's recent linking of climate change and human rights, stressing urgent need for older people's protection.
Event on 12 June – 26 June / SEI scientists will host a three-day training on WEAP, SEI's flagship water modelling software, on 12, 19 and 26 June. Register today.
Other publication / Gary Haq contributed six entries relating to climate change for this research encyclopaedia.
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