ABSTRACT
This chapter discusses the main challenges to be solved in terms of integrating national inequality and redistribution in climate modelling; and considers the research on revenue recycling mechanisms from micro-macro level studies on climate policies. It explores the case of India, based on the availability of data, the prevalence of inequality today and the importance of mitigation and in particular of energy system decarbonization. The chapter further adds to the literature that uses integrated assessment models (IAMs) to address sustainable development goals (SDGs) and their links. By linking environmental and socio-economic systems, IAMs are in a good position to assess the long-term prospects of the 2030 Agenda. The chapter stresses how the interaction between climate policies and inequality needs to be sufficiently considered if a policy maker has the objective to mitigate global climate change and inequality simultaneously as in the SDGs.
