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Adaptation to Climate Change in Preindustrial Iceland

American Economic Review 2012 102(3), 250-255
We investigate the effect of climate change on population growth in 18th and 19th century Iceland. We find that annual temperature changes help determine the population growth rate in pre-industrial Iceland: a year 1 degree Celsius cooler than average drives down population growth rates by 1.14%. We also find that 18th and 19th century Icelanders adapt to prolonged changes in climate after 20 years. These adaptations reduce the short run effect of annual change in temperature by about 60%. Finally, a 1 degree Celsius sustained decrease in temperature decreases the steady state population by 10% to 26%.

A Welfare Analysis of Policies Impacting Climate Change

American Economic Review 2026 116(7), 2368-2421 open access
We study the welfare impacts of 96 climate-related tax and spending policies. We extend and apply the marginal value of public funds (MVPF) framework, most notably providing a new method for incorporating learning-by-doing spillovers. We find subsidies for the production of clean energy (such as wind production tax credits) have higher MVPFs than all other subsidies in our sample, including EV subsidies. Conservation nudges have large MVPFs when targeting regions with dirty grids. Fuel taxes and cap-and-trade policies are highly efficient means of raising revenue. We also construct traditional cost-per-ton estimates and compare and contrast the lessons they provide.

The Evolution of a Global Climate Change Agreement

American Economic Review 2006 96(2), 26-30
This paper argues that while a long-term solution to climate change may require the global market-based solution envisioned in the Kyoto Protocol, a more flexible near-term approach is necessary. First, a broad range of domestic policies need to be embraced and encouraged by an international agreement, not constrained or discouraged by it. Second, developing countries need to be an increased focus of engagement, with expansion and reform of project-based crediting. Finally, a global agreement needs to recognize both technology and mitigation policies and to develop ways to evaluate efforts along each of these dimensions. Over the longer term, such an agreement should evolve toward greater reliance on global market-based solutions, and therefore near-term steps should be viewed both in terms of their immediate practicality and their potential to be refined over time.(This abstract was borrowed from another version of this item.)

Economic Growth and Climate: The Carbon Dioxide Problem

American Economic Review 1976
In contemplating the future course of economic growth in the West, scientists are divided between one group crying and another which denies that species' existence. One persistent concern has been that man's economic activities would reach a scale where the global climate would be significantly affected. Unlike many of the wolf cries, this one, in my opinion, should be taken very seriously. The present article will first give a brief overview of the climatic implications of economic activity with special reference to carbon dioxide, and then will present possible strategies for control. A more complete report with references to the literature on climatic change is contained in Nordhaus (1976). It is thought that the economic activities which most affect climate are agriculture and energy. Of these, the latter is probably more significant, is certainly more easily analyzed, and will be discussed here. In the energy sector, emissions of carbon dioxide, particulate matter, and heat are of significance for the global climate.

Impact of Climate Change on Rice Production in Thailand

American Economic Review 2009 99(2), 205-210 open access
Our goal is to evaluate variations in rice yields for likely climate changes for Southeast Asia. To do so we integrate economic modeling with soil science crop growth simulation model, weather simulation model and global climate change models. We estimate impacts of climate change under two different climate scenarios, one assuming high future global anthropogenic pollution emissions,

Climate change and agriculture: The role of international trade

American Economic Review 1993
Predictions of future climate and atmospheric conditions are reviewed and the implications for agriculture in different areas of the world are identified. The SWOPSIM (static world policy simulation) model used to evaluate the worldwide economic effects of climate change is described. An economic sensitivity analysis of concurrent yield losses in major grain-producing regions considering the possibility of concurrent changes in production potential elsewhere in the world is reported. Agricultural impacts of climate change based on three general circulation models are evaluated.