Modelling the short-term economic impacts of climate change

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Climate change and the policies implemented to cut carbon emissions will impact economies in many different ways in both the short and long run. Central banks need to have the right models in place if they are to understand and respond to these effects.

In May, the United Nations Environment Programme Finance Initiative (UNEP FI) and the National Institute of Economic and Social Research (NIESR) published a joint report into the economics of climate change. The project sought to help financial

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