While the authors examine only a subset of climate-related impacts, the evidence suggests that recent climate change now imposes an average cost between $400 and $900 per household annually depending on attribution assumptions, with the hardest-hit counties exceeding $1,300 per household.
How CBAM recognizes carbon prices paid abroad will shape its effectiveness against leakage and catalyze carbon pricing abroad. Since CBAM is not meant to be a revenue-raising tool, it can make sense to let trade partners close the EU ETS price gap and retain revenues at home.
Least-cost electrification plans have become more sophisticated. This working paper proposes an integrated
regulatory–financial framework. Universal access becomes bankable when planning, regulation and financing are integrated.
ceepr.link/4lc8Ysm
Three targeted options—recapturing compensation/free allocation, top-up credit purchases, and additional allowance or tax payments—can help close that gap, improve international acceptability, and still largely preserve CBAM’s carbon-pricing incentives. ceepr.link/4aoZoho
A recording of last week's webinar on "The Economics of Keeping Diablo Canyon Online" by @johnparsons.bsky.social is now available at the link below:
youtu.be/cUdPZUZz-Ow
Climate change is no longer a distant threat—it is already imposing substantial and uneven costs on U.S. households.
This paper by @kclausing.bsky.social, @knittelmit.bsky.social and @cwolfram.bsky.social seeks to quantify these costs across multiple channels, check it out here:
ceepr.link/4cWpkCV
How should batteries be dispatched and recharged in the face of uncertainty about the future inflow of renewable energy? A new Working Paper by Cem Keske, @bjarnesteffen.bsky.social, and @johnparsons.bsky.social looks into it:
ceepr.link/3PxiRpa
Pump prices are ⬆️ but suspending federal gas tax likely won’t help much.
Prof. Gilbert Metcalf says:
• Gas/diesel taxes are small vs. 40%+ fuel price hikes
• Farmers are already exempt
• It could boost demand, raising prices
• The tax brings in ~$3.5B/month, needed to quell deficit
MIT Center for Energy and Environmental Policy Research
MIT Center for Energy and Environmental Policy Research
MIT Center for Energy and Environmental Policy Research
MIT Center for Energy and Environmental Policy Research
MIT Center for Energy and Environmental Policy Research
MIT Center for Energy and Environmental Policy Research
MIT Center for Energy and Environmental Policy Research
What role could clean firm power play in California’s energy transition?
CATF’s @kspokas.bsky.social joins @mitceepr.bsky.social's John Parsons to discuss new analysis evaluating the costs & benefits of extending Diablo Canyon Nuclear Power Plant through 2045.
mit.zoom.us/webinar/regi...
MIT Climate Policy Center
Clean Air Task Force
buff.ly
President Donald Trump has proposed pausing the country’s 18.4-cent gas tax.
