climate change, climate change mitigation costs, global warming, economic models
This article provides a short introduction into the problematic of the costs of climate change mitigation. First the institutional framework of climate change mitigation is described including the research of International panel for climatic and the policies of Kyoto protocol. Then we discuss the relations between emission of green-house gases and global warming and also the reliability of the models of future climate changes and their risks. We show the difference between the reli-ability of models of sudden and gradual climatic change. We shortly introduce different normative approaches to the possible climate change costs and focus on the difference between non-pater-nalistic altruism and precautionary principle approach. We describe basic economic models of the climate change costs based on the Nordhaus model  but we also discuss the limitations of the original assumptions of this model. Then we systematically analyze the possible influence of some fiscal measures which cut down the mitigation cost. These measures are especially domestic emission permits, price-caps, tax shifts, benefits from new technologies development, so called no-regret potentials and positive side-effects of climate change mitigation. We integrate the influence of these measures into the basic model. In greater detail we deal with the discounting of the utility function of the environmental change. We show the limitations of Horowitz  simplifying assumptions about the possibility of reduction of the social discount rate to the interest rate. In the end we emphasize the methodological need of integration of the complex and feed-back nature of the climate change and environment generally into the economic models.