This paper provides a conceptual backdrop for urban economic impact assessment of climate change and its specific aim is to provide both a conceptual and a methodological framework for OECD
work in this area. The scope includes the assessment of the potential incidence and economic cost associated with changes in extreme events in cities. Given the broad uncertainties about how climate policies play out, this paper proposes to address these through a comparison of impacts under different mitigation strategies and different adaptation scenarios. Such an approach provides a means to bracket uncertainty about both mitigation and adaptation responses.