Question 77 from UPSC CSE 2020 - ENVIRONME NT

Question

Which one of the following statements best describes the term 'Social Cost of Carbon'? It is a measure, in monetary disc value, of the

IASCODEX · Accepted Answer

Correct Option: A. long-term damage done by a tonne of CO2 emissions in a given year.

Strategy: Focus on keywords such as "measure," "monetary value," and "damage done by a tonne of CO2." These terms directly align with the definition of the Social Cost of Carbon (SCC) in climate economics. Other options that reference energy needs, adaptation efforts, or individual carbon footprints do not define SCC as an economic assessment of damage per ton of emissions, making option A the precise match.

Key Info: ## Social Cost of Carbon (SCC)

The Social Cost of Carbon (SCC) is a critical metric in climate economics, representing the estimated economic cost resulting from emitting one additional metric ton of carbon dioxide into the atmosphere in a given year.

**Key Characteristics:**

*   **Quantifies Damages:** It quantifies, in monetary terms, the net present value of damages related to climate change that result from CO2 emissions. These damages include:
    *   Agricultural productivity loss
    *   Health impacts
    *   Property damage from increased flood risk
    *   Changes in energy system costs
    *   Lost ecosystem services, economic output, human health, and environmental changes
*   **Policy Use:** Policymakers use SCC in cost-benefit analyses to weigh the emissions impacts of regulatory proposals or investment projects.
*   **Variability & Recognition:** The value of SCC varies depending on the discount rate and assumptions about future damages. It is recognized and updated by intergovernmental panels, the US EPA, and similar bodies worldwide.
*   **Scope:** SCC assesses societal-wide, long-term damages associated with incremental carbon emissions. It does not refer to energy requirements, adaptation by refugees, or individual carbon footprints.

IASCODEX · Answer

Option B: requirement of fossil fuels for a country to provide goods and services to its citizens, based on the burning of those fuels.

IASCODEX · Answer

Option C: efforts put in by a climate refugee to adapt to live in a new place.

IASCODEX · Answer

Option D: contribution of an individual person to the carbon footprint on the planet Earth.