CBO outlines the main channels by which climate change and policies intended to mitigate or adapt to it affect the federal budget. Climate change increases budget deficits; investments in mitigation or adaptation could reduce those costs.
- Working Paper
This paper describes how CBO constructed its projection of the effect of climate change on U.S. output, how the projected effect should be interpreted, limitations of the analysis, and the central climate-change scenario that CBO used.
Expected annual economic losses from most types of damage caused by hurricane winds and storm-related flooding total $54 billion—$34 billion in losses to households, $9 billion to commercial businesses, and $12 billion to the public sector.