Economic Models for Net Zero Transitions

The transition to national net zero emissions represents both a significant economic challenge and a major opportunity. While the upfront costs of technology deployment and infrastructure changes are substantial, the long-term benefits often exceed these costs through avoided climate damages, improved public health, energy security, and new economic opportunities.

Economic modeling shows that the timing and pace of the transition matter greatly. Early, coordinated action typically provides better economic outcomes than delayed or fragmented approaches. The key is to internalize climate costs through appropriate pricing mechanisms while investing in innovation and workforce development.