Climate Uncertainty and Economic Development

Climate Uncertainty and Economic Development

Author: Channing Arndt

Publisher:

Published: 2014

Total Pages:

ISBN-13:

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We apply a probabilistic approach to the evaluation of climate change impacts in the Zambeze River Valley. The economic modeling relies on an economywide modeling approach. Taking a distribution of shocks as inputs, we create hybrid frequency distributions of the potential economic impacts of climate change for Mozambique. The approach identifies an explicit range of potential outcomes and associates a probability with given sets of outcomes. For example, we find that the economy of Mozambique may be up to 13% smaller in 2050 due to the effects of climate change. However, the chance of GDP losses of less than 5% are more than four out of five with about 10% of these outcomes actually positive. Large declines in GDP, defined as a decline greater than 10%, are the result of a dramatic reduction in flood return periods though the probability of large declines is relatively small at 2.5%. We conclude that this probabilistic approach provides significantly more information to policy makers and productively focuses scientific effort and the agenda for future research.


Confronting Climate Uncertainty in Water Resources Planning and Project Design

Confronting Climate Uncertainty in Water Resources Planning and Project Design

Author: Patrick A. Ray

Publisher: World Bank Publications

Published: 2015-08-20

Total Pages: 149

ISBN-13: 1464804788

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Confronting Climate Uncertainty in Water Resources Planning and Project Design describes an approach to facing two fundamental and unavoidable issues brought about by climate change uncertainty in water resources planning and project design. The first is a risk assessment problem. The second relates to risk management. This book provides background on the risks relevant in water systems planning, the different approaches to scenario definition in water system planning, and an introduction to the decision-scaling methodology upon which the decision tree is based. The decision tree is described as a scientifically defensible, repeatable, direct and clear method for demonstrating the robustness of a project to climate change. While applicable to all water resources projects, it allocates effort to projects in a way that is consistent with their potential sensitivity to climate risk. The process was designed to be hierarchical, with different stages or phases of analysis triggered based on the findings of the previous phase. An application example is provided followed by a descriptions of some of the tools available for decision making under uncertainty and methods available for climate risk management. The tool was designed for the World Bank but can be applicable in other scenarios where similar challenges arise.


The Economics of Climate-Resilient Development

The Economics of Climate-Resilient Development

Author: Sam Fankhauser

Publisher: Edward Elgar Publishing

Published: 2016-07-27

Total Pages: 246

ISBN-13: 1785360310

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Some climate change is now inevitable and strategies to adapt to these changes are quickly developing. The question is particularly paramount for low-income countries, which are likely to be most affected. This timely and unique book takes an integrated look at the twin challenges of climate change and development. The book treats adaptation to climate change as an issue of climate-resilient development, rather than as a bespoke set of activities (flood defences, drought plans, and so on), combining climate and development challenges into a single strategy. It asks how the standard approaches to development need to change, and what socio-economic trends and urbanisation mean for the vulnerability of developing countries to climate risks. Combining conceptual thinking with practical policy prescriptions and experience the contributors argue that, to address these questions, climate risk has to be embedded fully into wider development strategies


The Human Impact of Climate Uncertainty

The Human Impact of Climate Uncertainty

Author: W. J. Maunder

Publisher: Routledge

Published: 2019-10-28

Total Pages: 194

ISBN-13: 1000692264

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Originally published in 1989, this book provides an overview of the economic dimensions of climate and human activities, and considers how the variable nature of the atmosphere must be accepted as an integral part of the management package. It discusses how climatic repercussions can hold major importance for international politics, particularly in the light of the impacts of climatic changes induced by greenhouse gases.


The Climate Casino

The Climate Casino

Author: William Nordhaus

Publisher: Yale University Press

Published: 2013-10-22

Total Pages: 618

ISBN-13: 0300203810

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Climate change is profoundly altering our world in ways that pose major risks to human societies and natural systems. We have entered the Climate Casino and are rolling the global-warming dice, warns economist William Nordhaus. But there is still time to turn around and walk back out of the casino, and in this essential book the author explains how.div /DIVdivBringing together all the important issues surrounding the climate debate, Nordhaus describes the science, economics, and politics involved—and the steps necessary to reduce the perils of global warming. Using language accessible to any concerned citizen and taking care to present different points of view fairly, he discusses the problem from start to finish: from the beginning, where warming originates in our personal energy use, to the end, where societies employ regulations or taxes or subsidies to slow the emissions of gases responsible for climate change./DIVdiv /DIVdivNordhaus offers a new analysis of why earlier policies, such as the Kyoto Protocol, failed to slow carbon dioxide emissions, how new approaches can succeed, and which policy tools will most effectively reduce emissions. In short, he clarifies a defining problem of our times and lays out the next critical steps for slowing the trajectory of global warming./DIV


The Economic Consequences of Climate Change

The Economic Consequences of Climate Change

Author: OECD

Publisher: OECD Publishing

Published: 2015-11-03

Total Pages: 141

ISBN-13: 9264235418

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This report provides a new detailed quantitative assessment of the consequences of climate change on economic growth through to 2060 and beyond.


Managing Climate Risks, Facing up to Losses and Damages

Managing Climate Risks, Facing up to Losses and Damages

Author: OECD

Publisher: OECD Publishing

Published: 2021-11-01

Total Pages: 360

ISBN-13: 9264439668

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This report addresses the urgent issue of climate-related losses and damages. Climate change is driving fundamental changes to the planet with adverse impacts on human livelihoods and well-being, putting development gains at risk.


Economic Analysis of Climate-Proofing Investment Projects

Economic Analysis of Climate-Proofing Investment Projects

Author: Asian Development Bank

Publisher: Asian Development Bank

Published: 2015-09-01

Total Pages: 201

ISBN-13: 9292570781

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Climate change represents an increasing threat to the continued development of the people, preservation of ecosystems, and economic growth of Asia and the Pacific. Mainstreaming climate risk management in all aspects of development is thus key to an effective transition to climate-resilient development pathways. ADB's climate risk management framework aims to reduce risks resulting from climate change to investment projects in Asia and the Pacific. A key step in this framework is the technical and economic valuation of climate-proofing measures. This report describes the conduct of the cost-benefit analysis of climate proofing investment projects. An important message is that the presence of uncertainty about climate change does not invalidate the conduct of the economic analysis of investment projects, nor does it require a new type of economic analysis. However, the presence of uncertainty does require a different type of decision-making process in which technical and economic expertise combine to present decision makers with the best possible information on the economic efficiency of alternative designs of investment projects.


The Politics of Climate Change and Uncertainty in India

The Politics of Climate Change and Uncertainty in India

Author: Lyla Mehta

Publisher: Routledge

Published: 2021-12-24

Total Pages: 226

ISBN-13: 1000531538

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This book brings together diverse perspectives concerning uncertainty and climate change in India. Uncertainty is a key factor shaping climate and environmental policy at international, national and local levels. Climate change and events such as cyclones, floods, droughts and changing rainfall patterns create uncertainties that planners, resource managers and local populations are regularly confronted with. In this context, uncertainty has emerged as a "wicked problem" for scientists and policymakers, resulting in highly debated and disputed decision-making. The book focuses on India, one of the most climatically vulnerable countries in the world, where there are stark socio-economic inequalities in addition to diverse geographic and climatic settings. Based on empirical research, it covers case studies from coastal Mumbai to dryland Kutch and the Sundarbans delta in West Bengal. These localities offer ecological contrasts, rural–urban diversity, varied exposure to different climate events, and diverse state and official responses. The book unpacks the diverse discourses, practices and politics of uncertainty and demonstrates profound differences through which the "above", "middle" and "below" understand and experience climate change and uncertainty. It also makes a case for bringing together diverse knowledges and approaches to understand and embrace climate-related uncertainties in order to facilitate transformative change. Appealing to a broad professional and student audience, the book draws on wide-ranging theoretical and conceptual approaches from climate science, historical analysis, science, technology and society studies, development studies and environmental studies. By looking at the intersection between local and diverse understandings of climate change and uncertainty with politics, culture, history and ecology, the book argues for plural and socially just ways to tackle climate change in India and beyond. The Open Access version of this book, available at http://www.taylorfrancis.com/books/e/9781003257585, has been made available under a Creative Commons Attribution-Non Commercial-No Derivatives 4.0 license.


Climate Impacts on Economic Growth as Drivers of Uncertainty in the Social Cost of Carbon

Climate Impacts on Economic Growth as Drivers of Uncertainty in the Social Cost of Carbon

Author: Elisabeth J. Moyer

Publisher:

Published: 2013

Total Pages: 29

ISBN-13:

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One of the central ways that the costs of global warming are incorporated into U.S. law is in cost-benefit analysis of federal regulations. In 2010, to standardize analyses, an Interagency Working Group (IAWG) established a central estimate of the social cost of carbon (SCC) of 2 1/tCO2 drawn from three commonly-used models of climate change and the global economy. These models produced a relatively narrow distribution of SCC values, consistent with previous studies. We use one of the IAWG models, DICE, to explore which assumptions produce this apparent robustness. SCC values are constrained by a shared feature of model behavior: though climate damages become large as a fraction of economic output, they do not significantly alter economic trajectories. This persistent growth is inconsistent with the widely held belief that climate change may have strongly detrimental effects to human society. The discrepancy suggests that the models may not capture the full range of possible consequences of climate change. We examine one possibility untested by any previous study, that climate change may directly affect productivity, and find that even a modest impact of this type increases SCC estimates by many orders of magnitude. Our results imply that the SCC is far more uncertain than shown in previous modeling exercises and highly sensitive to assumptions. Understanding the societal impact of climate change requires understanding not only the magnitude of losses at any given time but also how those losses may affect future economic growth.