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Can you please explain what is meant by "consider non-linearity or step changes that impact climate risks"
The effects of changes in climate risks are not a steady linear change over time. There are jumps (i.e. the government increasing the carbon tax drastically in a year which increases transition risk)
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The effects of changes in climate risks are not a steady linear change over time. There are jumps (i.e. the government increasing the carbon tax drastically in a year which increases transition risk)