Climate-economic models play a crucial role in helping us think about the transition of our economies toward carbon-neutrality. As evidence accumulates, it becomes increasingly clear that the complex networks of supply chains that underpin our economies significantly influence economic development, particularly the spreading of economic shocks. However, these aspects have been largely overlooked in existing economic models. In this talk, I will delve into the economics of climate change and present our recent paper published in Nature Sustainability to illustrate how modeling firm-level production networks can facilitate the development of more effective strategies for decarbonization.