Connect with us

Hi, what are you looking for?

In recent years, we have seen recent studies all overwhelmingly point out that if there is no dramatic change in reducing carbon emissions, there will be consequences for our economy.

Climate Change

Climate Change Is A Global Loss For The Economy: Report

In recent years, we have seen recent studies all overwhelmingly point out that if there is no dramatic change in reducing carbon emissions, there will be consequences for our economy.

We know the science behind climate change is quite scary — just ask the 97% of scientists who have come to the same conclusion that it’s caused by humans.

If that statistic does not get you, perhaps the mounting evidence towards climate change affecting the global economy will.

In recent years, we have seen recent studies (here, here, and here) all overwhelmingly point out that if there is no dramatic change in reducing carbon emissions, there will be consequences for our economy.

Now a recent Nature paper, based on research from both Stanford University and the University of California – Berkeley, California researchers confirm what’s already known: Climate change is an overall loss for the world economy.

The report used average annual temperatures from 1960 to 2010. This data was taken and compared to the yearly economic performance by each nation by researchers. High-end statistical techniques were used in separating temperature outcomes from different factors, including financial and political cycles. Then climate models were used to predict future temperatures, allowing researchers to project economic growth over the remaining century.

The compiled research there provides some interesting analysis on future global economic impacts of climate change. By the end of the century, the report found global income would be 23% less than without climate change.

A warming planet may cause the un-evening of the global economy. Northern countries, including Russia, Northern Europe, and Canada, may see help from climate change, compared to other parts of the world. One example which is already happening is the growing of corn, which is grown in US bread basket states including Illinois and Iowa. However, Canadian prairie farmers, including parts of Manitoba, are growing more corn, as the growing season has increased by two weeks within the past fifty years.

Solomon Hsiang, a professor at the Goldman School of Public Policy at UC Berkeley who headed up the research team, told MIT Technology Review it’s possible a major restructuring of the global economic system is possible thanks to climate change. Hsiang notes the differences of economic circumstances in the future is potentially stunning. According to charts, the US could see a 5% drop in gross domestic product (GDP) by 2050, and a drop of 36% by 2099.

“There will be a huge redistribution of wealth from the global poor to the wealthy,” said Hsiang.

Poorer countries will be the hardest hit economically by climate change. The report suggested that average income from 60% of citizens from the poorest nations will see a 70% decline at the end of the century, due to the effects of climate change.

A warming world will also impact economic inputs. The analysis found crop yields, labor productivity, and labor supply decline sharply between 20C and 30C.

Hsiang also suggested data which shows that when days are higher than 30C, a citizen in a standard US county loses $20 in unearned income.

Thomas Friedman, in his recent book Thank You For Being Late, talks about how we are currently entering an “age of acceleration” due to the rapid pace of technology advancement, globalization and environmental degradation, including climate change. The challenges of rapid climate change affecting the economy are clear and accelerating quickly. However, the opportunities, thanks to a dramatic fall of renewable energy prices, including solar, wind energy, and electric vehicle batteries, offer hope we can transition away from a fossil-fuel based economy before the worst impacts hurt our overall global economic system.

Image Credit: Hermann via Pixabay. Public Domain under Creative Commons

Sign up for daily news updates from CleanTechnica on email. Or follow us on Google News!

Have a tip for CleanTechnica, want to advertise, or want to suggest a guest for our CleanTech Talk podcast? Contact us here.

Former Tesla Battery Expert Leading Lyten Into New Lithium-Sulfur Battery Era — Podcast:

I don't like paywalls. You don't like paywalls. Who likes paywalls? Here at CleanTechnica, we implemented a limited paywall for a while, but it always felt wrong — and it was always tough to decide what we should put behind there. In theory, your most exclusive and best content goes behind a paywall. But then fewer people read it! We just don't like paywalls, and so we've decided to ditch ours. Unfortunately, the media business is still a tough, cut-throat business with tiny margins. It's a never-ending Olympic challenge to stay above water or even perhaps — gasp — grow. So ...
If you like what we do and want to support us, please chip in a bit monthly via PayPal or Patreon to help our team do what we do! Thank you!
Written By

is expected to complete the Professional Development Certificate in Renewable Energy from the University of Toronto by December 2017. Adam recently completed his Social Media Certificate from Algonquin College Continuing & Online Learning. Adam also graduated from the University of Winnipeg with a three-year B.A. combined major in Economics and Rhetoric, Writing & Communications in 2011. Adam owns a part-time tax preparation business. He also recently started up Salay Consulting and Social Media services, a part-time business which provides cleantech writing, analysis, and social media services. His eventual goal is to be a cleantech policy analyst. You can follow him on Twitter @adamjohnstonwpg or check out his business


You May Also Like

Clean Power

The Canadian startup XlynX aims to improve perovskite solar cells with a new advanced adhesive.


The first batch of Tesla vehicles manufactured in Shanghai has arrived in Vancouver, Canada, and a second load is on its way.

Clean Power

As Canada moves forward towards becoming a net-zero economy by 2050, more rebates, incentives, and tax cuts are being introduced. The solar industry is...

Clean Transport

Canada and the US have announced a collaborative alternative fuel network, to be called the Binational EV Corridor, which is designed to assure EV...

Copyright © 2023 CleanTechnica. The content produced by this site is for entertainment purposes only. Opinions and comments published on this site may not be sanctioned by and do not necessarily represent the views of CleanTechnica, its owners, sponsors, affiliates, or subsidiaries.