Economics Observatory’s Post

🌏Climate change isn't just an environmental issue; it's also an economic one. "If we take into account that warmer years also come with changes in rainfall and temperature variability, it turns out that the estimated impact of spiking temperatures is worse than previously thought", says doctoral researcher and economist, Paul Waidelich at @ETH-zurich. 👉 Groundbreaking studies by @Paul-Waidelich, @fulden-batibeniz, @SISeneviratne and colleagues about including climate variability and extremes in global cost assessments of climate change: https://bit.ly/3Q5wb0M #ClimateChange #Economics #Research #Adaptation #ETHZurich #Sustainability

#US: Net zero policies in the US will have highly unequal impacts across states and metros, given the diverse nature of subnational economies. According to Oxford Economics latest climate change scenario analysis, the South and Midwest regions will be hit the hardest with greater risks due to their reliance on fossil fuels and industrial sectors. #economicimplications #economicoutcomes #fossilfuels #industrialsectors #climatechange

What is the cost of not taking action against climate change? In their pioneering study, Paul Waidelich, Fulden Batibeniz and Sonia Seneviratne reveal that limiting global warming to 1.5ºC could reduce the global economic costs of climate change by two thirds. ETH Zurich - Climate Finance & Policy Group #ClimateChange #ClimateEconomy #GlobalWarming

The Real Cost of Climate Change Just read an eye-catching article in The Economist about why estimating the cost of climate change is so tough. Key Points: Old vs. New Estimates: Nobel laureate William Nordhaus once guessed a 3°C rise would cut global GDP by 1-2%. New research now says it could be a whopping 12% drop per extra degree! Different Methods, Different Results: Various models and approaches give us wildly different numbers, each with its own set of assumptions and flaws. Human and Climate Complexity: The climate is unpredictable, and so are human reactions. Adaptation and innovation add even more uncertainty. Higher Costs Agreed: Despite all the differences, one thing is clear: the costs are much higher than we first thought. This article really highlights why we need urgent action on climate change and better ways to understand its economic impact. If you're into this stuff, it is worth a read. https://lnkd.in/geJhUPAq

Ramping down global emissions is achievable in terms of cost. But until the US and other rich countries assume a war footing, the world don’t stand a chance of meeting critical climate goals. https://lnkd.in/dP7beGfu #netzero #brutal #economics #globalemissions #emissonreduction #goals #unitedstates #rich #countries #assuming #warfooting #meeting #critical #climategoals #climatechange

Climate change will reduce future global income by about 19% in the next 25 years compared to a fictional world that's not warming, with the poorest areas and those least responsible for heating the atmosphere taking the biggest monetary hit, a new study said. Climate change's economic bite in how much people make is already locked in at about $38 trillion a year by 2049, according to Wednesday's study in the journal Nature by researchers at Germany's Potsdam Institute for Climate Impact Research. By 2100 the financial cost could hit twice what previous studies estimate. “Our analysis shows that climate change will cause massive economic damages within the next 25 years in almost all countries around the world, also in highly-developed ones such as Germany and the U.S., with a projected median income reduction of 11% each and France with 13%,” said study co-author Leonie Wenz, a climate scientist and economist. #climatechange #economiclosses #globaleconomy #world #globalwarming #poorpeople https://lnkd.in/gqiJy9Mi

A study by the PIK - Potsdam Institute for Climate Impact Research has estimated that the global economy faces approximately $38 trillion (€35.61 trillion) in damages each year due to the effects of climate change. “Our analysis shows that climate change will cause massive economic damages within the next 25 years in almost all countries around the world, also in highly-developed ones such as Germany, France and the United States,” said PIK scientist Leonie Wenz. #earthday #climatechange #economy https://lnkd.in/e2xinuWt

The economic stakes of confronting climate change continue to come into clearer focus. From Axios: "Climate change through the middle of this century is likely to be far costlier than thought — to the tune of $38 trillion per year.... more than double the annual GDP of the entire European Union." "The study finds the world economy is already headed for a loss of 19% of income per capita around the globe within the next 26 years due to historical emissions that will continue to warm the planet... The paper, from three scientists at the Potsdam Institute for Climate Impact Research in Germany, found that the likely economic damages of climate change during the next quarter century outweigh by six times the costs of mitigating global warming and holding it to 2°C above preindustrial levels." https://lnkd.in/eREMFM9R

Some would say, "There is nothing to see here..." Climate change will reduce future global income by about 19% in the next 25 years compared to a fictional world that’s not warming, with the poorest areas and those least responsible for heating the atmosphere taking the biggest monetary hit, a new study said. Climate change’s economic bite in how much people make is already locked in at about $38 trillion a year by 2049, according to Wednesday’s study in the journal Nature by researchers at Germany’s Potsdam Institute for Climate Impact Research. By 2100 the financial cost could hit twice what previous studies estimate. “Our analysis shows that climate change will cause massive economic damages within the next 25 years in almost all countries around the world, also in highly-developed ones such as Germany and the U.S., with a projected median income reduction of 11% each and France with 13%,” said study co-author Leonie Wenz, a climate scientist and economist.

A study by the PIK - Potsdam Institute for Climate Impact Research has estimated that the global economy faces approximately $38 trillion (€35.61 trillion) in damages each year due to the effects of climate change. “Our analysis shows that climate change will cause massive economic damages within the next 25 years in almost all countries around the world, also in highly-developed ones such as Germany, France and the United States,” said PIK scientist Leonie Wenz. #earthday #climatechange #economy https://lnkd.in/efdViQQz