World Bank’s Environmental Impact and Sustainability Applied General Equilibrium (ENVISAGE) Model is designed to analyze a variety of issues related to the economics of climate change
- Baseline emissions of CO2 and other greenhouse gases
- Impacts of climate change on the economy
- Adaptation by economic agents to climate change
- Greenhouse gas mitigation policies—taxes, caps and trade
- The role of land use in future emissions and mitigation
- The distributional consequences of climate change impacts, adaptation and mitigation—at both the national and household level.
ENVISAGE is intended to be flexible in terms of its dimensions. The core database—that includes energy volumes and CO2 emissions—is the GTAP database, currently version 7.0 with a 2004 base year. The latter divides the world into 113 countries and regions, of which 95 are countries and the other region-based aggregations. The database divides global production into 57 sectors—with extensive details for agriculture and food and energy (coal mining, crude oil production, natural gas production, refined oil, electricity, and distributed natural gas). Due to numerical and algorithmic constraints, a typical model is limited to some 20-30 sectors and 20-30 regions. Please note that the existing document is being revised to reflect the latest developments in the ENVISAGE model.