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The Economic Consequences of Climate Change

image of The Economic Consequences of Climate Change

This report provides a new detailed quantitative assessment of the consequences of climate change on economic growth through to 2060 and beyond. It focuses on how climate change affects different drivers of growth, including labour productivity and capital supply, in different sectors across the world. The sectoral and regional analysis shows that while the impacts of climate change spread across all sectors and all regions, the largest negative consequences are projected to be found in the health and agricultural sectors, with damages especially strong in Africa and Asia.

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The bigger picture of climate change

Without aiming to be complete, this chapter provides insights into the main consequences of inaction that are not assessed in . The chapter starts with an analysis using the integrated assessment model AD-DICE to shed light on the long-term consequences of climate change. It then presents a number of important examples of market and non-market consequences of climate change that are not included in the analysis with the ENV-Linkages model. Two prominent examples of these are the projected urban damages from river floods and the welfare costs from premature deaths due to heat stress.

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