To assess the social cost of carbon for climate policies, the Dynamic Stochastic Integration of Climate and Economy (DSICE) model was developed. Its framework for stochastic integrated assessment of climate policies is based on the pioneering DICE integrated assessment model by William Nordhaus. DSICE computes the social cost of carbon in the presence of multi-layered risks, including climate tipping points, ecosystem risk and long-run risks to economic growth. DSICE has been developed by Yongyang Cai, Kenneth L. Judd and Thomas S. Lontzek.

“The Social Cost of Carbon When We Wish for Full-Path Robustness”

Management Science 2023

“The Social Cost of Carbon with Economic and Climate Risks”

Journal of Political Economy 2019

“Risk of Multiple Interacting Tipping Points Should Encourage Rapid CO2 Emission Reduction”

Nature Climate Change 2016

”Stochastic Integrated Assessment of Climate Tipping Points Calls for Strict Climate Policy”

Nature Climate Change 2015

”Environmental tipping points significantly affect cost-benefit assessment of climate policies”

Proceedings of the National Academy of Sciences of the United States of America (PNAS) 2015