WORLD RESOURCES INSTITUTE

THE COSTS OF CLIMATE PROTECTION:

A GUIDE FOR THE PERPLEXED

ROBERT REPETTO
DUNCAN AUSTIN

Carollyne Hutter
Acting Publications Director

Hyacinth Billings
Procluction Manager

Designed by:
Lomangino Studio Inc., Washington, DC

Each World Resources Institute Report represents a timely, scholarly treatment of a subject of public concern.
W'RI takes responsibility for choosing the study topics and guaranteeing its authors and researchers freedom of inquiry.

It also solicits and responds to the guidance of advisory panels and expert reviewers.
Unless otherwise stated, however, all the interpretation and findings set forth in WRT publications are those of the authors.

Copyright © 1997 World Resources Institute. All rights reserved.

ISBN 1-56973-222-1
Library of Congress Catalog Card No. 97-60932
Printed in the United States of America on Recycled Paper.

3. MORE DETAIL ON THE KEY ASSUMPTIONS

A The Scope for Reducing Energy Inefficiencies.
B. Substitution Effects
C. Technological Change and Energy Efficiency Improvement.
D. Backstop Energy Sources
E. The Time Path for Stabilizing CO2 Concentrations
F. The Possibility of International Joint Implementation
G. How Revenues Are Recycled Into the Economy.
H. Avoiding the Costs of Climate Change.

1. Avoiding Other Environmental Damages. 4. TRADE AND EQUITY ISSUES

A. Trade Issues ..
B. Distributional Effects

1. Distributional Effects On Households
2. Distributional Effects By Sector and Region

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ACKNOWLEDGMENTS

The authors wish to thank many people who helped with the research underlying this report but not to suggest that they bear any responsibility for its contents. Richard Goettle, Richard Richels, Hugh Pitcher, Jae Edmonds, Robert Shackleton, Mike Shelby, and John Weyant were extremely helpful with data and technical suggestions. We thank John Reilly, Tom Walton, Alan Miller, and an anonymous external reviewer for useful criticisms and comments on an earlier draft of the report. Similarly, we thank WRI colleagues Paul Faeth, Jim Mackenzie, Walt Reid, Jonathan Lash, and Liz Cook for their comments. Valuable assistance at various stages from Marca Hagenstad, Theresa Bradley, Maggie Powell, Hyacinth Billings, Carollyne Hutter, Beth Behrendt, and Beth Harvey is greatly appreciated

R.R.
D.A.