• DOI:10.1007/978-3-030-03152-7_8
• Corpus ID: 158251793

Hypothesis for a Risk Cost of Carbon: Revising the Externalities and Ethics of Climate Change

@article{Chen2018HypothesisFA,
  title={Hypothesis for a Risk Cost of Carbon: Revising the Externalities and Ethics of Climate Change},
  author={Delton B. Chen and Joel van der Beek and John Cloud},
  journal={Understanding Risks and Uncertainties in Energy and Climate Policy},
  year={2018},
  url={https://api.semanticscholar.org/CorpusID:158251793}
}

• Delton B. Chen, J. Beek, John Cloud
• Published in Understanding Risks and… 11 December 2018
• Environmental Science, Economics, Philosophy
• Understanding Risks and Uncertainties in Energy and Climate Policy

Standard market-based policies for addressing climate change mostly aim to internalize the Social Cost of Carbon (SCC) into the economy with either carbon taxes or cap-and-trade schemes. Standard policies are failing to manage the systemic risk of dangerous-to-catastrophic climate change for a variety of reasons. In this chapter we clarify and expand on a market hypothesis that argues for a second externalized cost of carbon, called the Risk Cost of Carbon (RCC), as the appropriate solution to… 

Standard market-based policies for addressing climate change mostly aim to internalize the Social Cost of Carbon (SCC) into the economy with either carbon taxes or cap-and-trade schemes. Standard policies are failing to manage the systemic risk of dangerous-to-catastrophic climate change for a variety of reasons. In this chapter we clarify and expand on a market hypothesis that argues for a second externalized cost of carbon, called the Risk Cost of Carbon (RCC), as the appropriate solution to this risk problem.