Economic damage of climate change greate • Table.Briefings

Until now, economists have assumed that an increase in global temperature of 1 degree Celsius would reduce global production by a maximum of one to three percent. Now there is much more drastic data.

Rising temperatures apparently have greater impacts on the economy than previously believed. A new study has examined the effects of global temperature shocks – rather than local temperature changes – on economic development.

An increase in global temperature by 1 degree Celsius leads to a decrease in global GDP by 12 percent. This is the conclusion reached by the authors of a study on the macroeconomic consequences of climate change. Adrien Bilal from Harvard University and Diego R. Känzig from Northwestern University in the USA examined the effects of global temperature shocks on Gross Domestic Products (GDP).

Economic damage of climate change greater than expected

Sign up now and continue reading immediately