Stern Review

This Review was announced by the Chancellor of the Exchequer in July 2005. The Review set out to provide a report to the Prime Minister and Chancellor by Autumn 2006 assessing:

the economics of moving to a low-carbon global economy, focusing on the medium to long-term perspective, and drawing implications for the timescales for action, and the choice of policies and institutions;

the potential of different approaches for adaptation to changes in the climate; and

specific lessons for the UK, in the context of its existing climate change goals.

This Review takes an international perspective on the economics of climate change. Climate change is a global issue that requires a global response. The science tells us that emissions have the same effects from wherever they arise.

The implication for the economics is that this is clearly and unambiguously an international collection action problem with all the attendant difficulties of generating coherent action and of
avoiding free riding. It is a problem requiring international cooperation and leadership.

The Assembly has done an information note about the review summarising the main conclusions. You can download this from the link below.

For more information, contact the Assembly.