Energy, Climate Change and Local Atmospheric Pollution Scenarios Evaluated with the TIAM-MACRO Model

The Integrated Assessment Model TIAM-MACRO model was extended to consider externalities related to Local Atmospheric Pollution (LAP) of 15 world regions. Externalities are changes of welfare due to activities (in our case the impacts of LAP originated from the energy and transportation system) without being reflected in market prices (hence not paid by the polluters). TIAM-MACRO contributes to coherent and consistent policy analyses and insights both at the world and regional level and correlates demand for energy services to macro-economic developments across regions and time until the end of the 21st century.