'Economists are out of touch with climate change' - The Age

In the debate over climate change, there is one group from whom you don't hear much: economists. The failure of climate economics to make a difference in the public discussion about climate policy should be a concern for the profession.

Climate economists are just as worried as anyone about the prospect of global warming. A recent survey by the Institute for Policy Integrity found that most climate economists believe climate change is a grave threat. Most supported carbon taxes or cap-and-trade programs to limit emissions, even if these actions were taken unilaterally by the United States. The consensus view was that a catastrophic loss of global gross domestic product – a 25 per cent decline or more – is possible under a "business as usual" scenario.

But for all this concern, economic research has had little impact on the public debate. The problem, as far as I can tell, is that there is a disconnect between climate science and economics. This goes beyond the out-of-date forecasting models used by policy makers. Even within academia, research often uses bad science.

Read the comment piece Noah Smith in today’s Melbourne Age - “Economists are out of touch with climate change.”