Traditionally, the economic literature on climate change has focused more on the long-run growth implications. Only more recently, there has been growing interest in the short-run effects of climate change and climate change mitigation policies in particular. What is the impact of these policies on economic activity and prices? What are the distributional consequences? And how does climate policy interact with other fiscal and monetary policies? Diego Känzig (London Business School) has selected some recent contributions on these important topics.