This unique textbook offers comprehensive coverage of the economics of climate change and climate policy, and is a suitable guide for advanced undergraduate, post-graduate, and doctoral students. Topics discussed include the costs and benefits of adaptation and mitigation, discounting, uncertainty, policy instruments, and international agreements.Key features of the second edition: In-depth treatment of the economics of climate change• careful explanations of concepts and their application to climate policy• customizable integrated assessment model that illustrates all issues discussed• specific usage guidelines for each level of reader• companion website featuring data, extra reading, quizzes, videos, and more to support seminar sessions and further exploration of the topic• discussion of the latest developments in theory and policy• a stronger empirical basis than the first edition. This book is an essential text for advanced undergraduate and masters students in economics, climate change, and environmental policy, and an excellent resource for researchers and practitioners looking for a key text to support them across all of their teaching.Contents:Preface Introduction 1. The science of climate change 2. Emissions scenarios and options for emission reduction 3. Abatement costs 4. Policy instruments for emission reduction 5. Impacts and valuation 6. Impacts of climate change 7. Climate and development 8. Adaptation policy 9. Optimal climate policy 10. Discounting 11. Uncertainty 12. Equity 13. International environmental agreements 14. Building an integrated assessment model 15. How to solve the climate problem? Index