Martin Weitzman
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The U.S. government is an insurance conglomerate and it should insure against climate change too
Photo: David HilowitzMainstream economic modeling isn’t very good at incorporating the more severe risks of climate change, as I mentioned last week. The low-probability, high-impact possibilities that show up in the “long tail” of probability distribution — collapsing ice sheets, massive methane emissions from the permafrost — just completely short-circuit conventional models. As a result, […]