(2007-09-10) Cowen Contra Lomborg

Tyler Cowen cannot, however, agree with one of his (Bjorn Lomborg's) central (Climate Change) claims, namely that the most serious economic research favors only mild remedies or sees the problem as only a moderate one.

Policy recommendations are extremely sensitive to the choice of discount rate, and economists do not agree on this issue.

We spend too much time wondering about what is "most believable" and not enough energy worrying about the expected value of pending losses. The major critical reviews all nail Lomborg for neglecting this point.

The strongest argument against significant action is not from cost-benefit analysis in the narrow sense, but simply that we are not very good at producing international public goods.