Design of climate change policies needs to internalise political realities by Davide Furceri, Michael Ganslmeier, Jonathan D. Ostry published by VOXEU (9/2021)
The call for stricter climate change policies is gaining momentum in many countries. But despite rising public awareness, there could be political obstacles to adopting the measures needed to combat climate change. This column argues that policy design and timing are critical to overcoming political costs to climate mitigation policies, as is the need to provide effective social insurance policies. An implication is that political realities may often dictate the need to sacrifice some efficiency in climate mitigation policies in order to secure political buy-in.
