The economic commitment of climate change.

Global projections of macroeconomic climate-change damages typically consider impacts from average annual and national temperatures over long time horizons1-6. Here we use recent empirical findings from more than 1,600 regions worldwide over the past 40 years to project sub-national damages from temperature and precipitation, including daily variability and extremes7,8. Using an empirical approach that provides a robust lower bound on the persistence of impacts on economic growth, we find that the world economy is committed to an income reduction of 19% within the next 26 years independent of future emission choices (relative to a baseline without climate impacts, likely range of 11-29% accounting for physical climate and empirical uncertainty). These damages already outweigh the mitigation costs required to limit global warming to 2 °C by sixfold over this near-term time frame and thereafter diverge strongly dependent on emission choices. Committed damages arise predominantly through changes in average temperature, but accounting for further climatic components raises estimates by approximately 50% and leads to stronger regional heterogeneity. Committed losses are projected for all regions except those at very high latitudes, at which reductions in temperature variability bring benefits. The largest losses are committed at lower latitudes in regions with lower cumulative historical emissions and lower present-day income.

The visual effect of wind turbines on property values is small and diminishing in space and time.

Renewable power generation is the key to decarbonizing the electricity system. Wind power is the fastest-growing renewable source of electricity in the United States. However, expanding wind capacity often faces local opposition, partly due to a perceived visual disamenity from large wind turbines. Here, we provide a US-wide assessment of the externality costs of wind power generation through the visibility impact on property values. To this end, we create a database on wind turbine visibility, combining information on the site and height of each utility-scale turbine having fed power into the U.S. grid, with a high-resolution elevation map to account for the underlying topography of the landscape. Building on hedonic valuation theory, we statistically estimate the impact of wind turbine visibility on home values, informed by data from the majority of home sales in the United States since 1997. We find that on average, wind turbine visibility negatively affects home values in an economically and statistically significant way in close proximity ([Formula: see text]5 miles/8 km). However, the effect diminishes over time and in distance and is indistinguishable from zero for larger distances and toward the end of our sample.

Inequality in behavioural heat adaptation: an empirical study with mobility data from the transport system in New York City, NY, USA.

BACKGROUND: Heat exposure, which can negatively affect human health and wellbeing, is heterogeneous within US cities. However, little is known about who can avoid heat stress by adjusting their everyday behaviour. We aimed to analyse the effect of ambient temperature on mobility, specifically subway (ie, the underground railway system) use, in New York City, NY, USA, during 2014-19. METHODS: For this empirical study, subway use across New York City was measured with turnstile data from the New York City Metropolitan Transportation Authority between Jan 1, 2014, and Dec 31, 2019. Passenger numbers were then aggregated to the zip code tabulation area (ZCTA) level. Daily observational climate data were obtained from the US National Weather Service between Jan 1, 2014, and Dec 31, 2019. Socioeconomic data at the ZCTA level originated from the American Community Survey 2019. We extracted data on population age, ethnicity, commuting, employment, median household income, rent, and health-insurance coverage. We used a fixed-effects panel-regression model to assess the influence of temperature on subway use in New York City, which was the main outcome of our study. FINDINGS: We obtained data for 438 subway stations across New York City. After data cleaning and preprocessing, the final aggregated data sample consisted of 238 508 instances of subway use in 1955 days across 6 years for 122 ZCTAs, with 168 days missing in the raw data and 67 days removed as outliers. The results of the fixed-effects panel-regression analysis showed a strong, non-linear effect of daily maximum temperature on subway use. Subway use was highest at 11·5°C and substantially decreased for temperatures that were colder and warmer than that, with reductions reaching 6·5% (95% CI 2·5-10·5) for the coldest temperature (ie, -6·5°C) and 10·5% (6·0-14·0) for the hottest temperature (ie, 34·5°C). Reductions differed between weekdays and weekends, when residents generally had more freedom to adjust their behaviour. Neighbourhoods that were at a socioeconomic disadvantage experienced smaller or no reductions in mobility in heat; mobility increased in neighbourhoods with beach access. INTERPRETATION: Our study showed that temperature had a strong, non-linear effect on subway use, but the magnitude of the effect on subway use was heterogeneous across areas of the city on warm days. Weaker avoidance of heat stress correlated with less privilege, indicating compounding health risks. Everyday behavioural adaptation to heat is therefore an effect pathway that contributes to unequal heat effects and should be explored in future research. FUNDING: The Volkswagen Foundation and the Werner Siemens Foundation.

DOSE - Global data set of reported sub-national economic output.

Many phenomena of high relevance for economic development such as human capital, geography and climate vary considerably within countries as well as between them. Yet, global data sets of economic output are typically available at the national level only, thereby limiting the accuracy and precision of insights gained through empirical analyses. Recent work has used interpolation and downscaling to yield estimates of sub-national economic output at a global scale, but respective data sets based on official, reported values only are lacking. We here present DOSE - the MCC-PIK Database Of Sub-national Economic Output. DOSE contains harmonised data on reported economic output from 1,661 sub-national regions across 83 countries from 1960 to 2020. To avoid interpolation, values are assembled from numerous statistical agencies, yearbooks and the literature and harmonised for both aggregate and sectoral output. Moreover, we provide temporally- and spatially-consistent data for regional boundaries, enabling matching with geo-spatial data such as climate observations. DOSE provides the opportunity for detailed analyses of economic development at the subnational level, consistent with reported values.

Temperature impacts on hate speech online: evidence from 4 billion geolocated tweets from the USA.

BACKGROUND: A link between weather and aggression in the offline world has been established across a variety of societal settings. Simultaneously, the rapid digitalisation of nearly every aspect of everyday life has led to a high frequency of interpersonal conflicts online. Hate speech online has become a prevalent problem that has been shown to aggravate mental health conditions, especially among young people and marginalised groups. We examine the effect of temperature on the occurrence of hate speech on the social media platform Twitter and interpret the results in the context of the interlinkage between climate change, human behaviour, and mental health. METHODS: In this quantitative empirical study, we used a supervised machine learning approach to identify hate speech in a dataset containing around 4 billion geolocated tweets from 773 cities across the USA between May 1, 2014 and May 1, 2020. We statistically evaluated the changes in daily hate tweets against changes in local temperature, isolating the temperature influence from confounding factors using binned panel-regression models. FINDINGS: The prevalence of hate tweets was lowest at moderate temperatures (12 to 21°C) and marked increases in the number of hate tweets were observed at hotter and colder temperatures, reaching up to 12·5% (95% CI 8·0-16·5) for cold temperature extremes (-6 to -3°C) and up to 22·0% (95% CI 20·5-23·5) for hot temperature extremes (42 to 45°C). Outside of the moderate temperature range, the hate tweets also increased as a proportion of total tweeting activity. The quasi-quadratic shape of the temperature-hate tweet curve was robust across varying climate zones, income quartiles, religious and political beliefs, and both city-level and state-level aggregations. However, temperature ranges with the lowest prevalence of hate tweets were centred around the local temperature mean and the magnitude of the increases in hate tweets for hot and cold temperatures varied across the climate zones. INTERPRETATION: Our results highlight hate speech online as a potential channel through which temperature alters interpersonal conflict and societal aggression. We provide empirical evidence that hot and cold temperatures can aggravate aggressive tendencies online. The prevalence of the results across climatic and socioeconomic subgroups points to limitations in the ability of humans to adapt to temperature extremes. FUNDING: Volkswagen Foundation.

The effect of rainfall changes on economic production.

Macro-economic assessments of climate impacts lack an analysis of the distribution of daily rainfall, which can resolve both complex societal impact channels and anthropogenically forced changes1-6. Here, using a global panel of subnational economic output for 1,554 regions worldwide over the past 40 years, we show that economic growth rates are reduced by increases in the number of wet days and in extreme daily rainfall, in addition to responding nonlinearly to the total annual and to the standardized monthly deviations of rainfall. Furthermore, high-income nations and the services and manufacturing sectors are most strongly hindered by both measures of daily rainfall, complementing previous work that emphasized the beneficial effects of additional total annual rainfall in low-income, agriculturally dependent economies4,7. By assessing the distribution of rainfall at multiple timescales and the effects on different sectors, we uncover channels through which climatic conditions can affect the economy. These results suggest that anthropogenic intensification of daily rainfall extremes8-10 will have negative global economic consequences that require further assessment by those who wish to evaluate the costs of anthropogenic climate change.

Footprint of greenhouse forcing in daily temperature variability.

Changes in mean climatic conditions will affect natural and societal systems profoundly under continued anthropogenic global warming. Changes in the high-frequency variability of temperature exert additional pressures, yet the effect of greenhouse forcing thereon has not been fully assessed or identified in observational data. Here, we show that the intramonthly variability of daily surface temperature changes with distinct global patterns as greenhouse gas concentrations rise. In both reanalyses of historical observations and state-of-the-art projections, variability increases at low to mid latitudes and decreases at northern mid to high latitudes with enhanced greenhouse forcing. These latitudinally polarized daily variability changes are identified from internal climate variability using a recently developed signal-to-noise-maximizing pattern-filtering technique. Analysis of a multimodel ensemble from the Coupled Model Intercomparison Project Phase 6 shows that these changes are attributable to enhanced greenhouse forcing. By the end of the century under a business-as-usual emissions scenario, daily temperature variability would continue to increase by up to a further 100% at low latitudes and decrease by 40% at northern high latitudes. Alternative scenarios demonstrate that these changes would be limited by mitigation of greenhouse gases. Moreover, global changes in daily variability exhibit strong covariation with warming across climate models, suggesting that the equilibrium climate sensitivity will also play a role in determining the extent of future variability changes. This global response of the high-frequency climate system to enhanced greenhouse forcing is likely to have strong and unequal effects on societies, economies, and ecosystems if mitigation and protection measures are not taken.

Future heat stress to reduce people's purchasing power.

With increasing carbon emissions rising temperatures are likely to impact our economies and societies profoundly. In particular, it has been shown that heat stress can strongly reduce labor productivity. The resulting economic perturbations can propagate along the global supply network. Here we show, using numerical simulations, that output losses due to heat stress alone are expected to increase by about 24% within the next 20 years, if no additional adaptation measures are taken. The subsequent market response with rising prices and supply shortages strongly reduces the consumers' purchasing power in almost all countries including the US and Europe with particularly strong effects in India, Brazil, and Indonesia. As a consequence, the producing sectors in many regions temporarily benefit from higher selling prices while decreasing their production in quantity, whereas other countries suffer losses within their entire national economy. Our results stress that, even though climate shocks may stimulate economic activity in some regions and some sectors, their unpredictability exerts increasing pressure on people's livelihood.

Decay radius of climate decision for solar panels in the city of Fresno, USA.

To design incentives towards achieving climate mitigation targets, it is important to understand the mechanisms that affect individual climate decisions such as solar panel installation. It has been shown that peer effects are important in determining the uptake and spread of household photovoltaic installations. Due to coarse geographical data, it remains unclear whether this effect is generated through geographical proximity or within groups exhibiting similar characteristics. Here we show that geographical proximity is the most important predictor of solar panel implementation, and that peer effects diminish with distance. Using satellite imagery, we build a unique geo-located dataset for the city of Fresno to specify the importance of small distances. Employing machine learning techniques, we find the density of solar panels within the shortest measured radius of an address is the most important factor in determining the likelihood of that address having a solar panel. The importance of geographical proximity decreases with distance following an exponential curve with a decay radius of 210 meters. The dependence is slightly more pronounced in low-income groups. These findings support the model of distance-related social diffusion, and suggest priority should be given to seeding panels in areas where few exist.

Post-Brexit no-trade-deal scenario: Short-term consumer benefit at the expense of long-term economic development.

After the United Kingdom has left the European Union it remains unclear whether the two parties can successfully negotiate and sign a trade agreement within the transition period. Ongoing negotiations, practical obstacles and resulting uncertainties make it highly unlikely that economic actors would be fully prepared to a "no-trade-deal" situation. Here we provide an economic shock simulation of the immediate aftermath of such a post-Brexit no-trade-deal scenario by computing the time evolution of more than 1.8 million interactions between more than 6,600 economic actors in the global trade network. We find an abrupt decline in the number of goods produced in the UK and the EU. This sudden output reduction is caused by drops in demand as customers on the respective other side of the Channel incorporate the new trade restriction into their decision-making. As a response, producers reduce prices in order to stimulate demand elsewhere. In the short term consumers benefit from lower prices but production value decreases with potentially severe socio-economic consequences in the longer term.

North-south polarization of European electricity consumption under future warming.

There is growing empirical evidence that anthropogenic climate change will substantially affect the electric sector. Impacts will stem both from the supply side-through the mitigation of greenhouse gases-and from the demand side-through adaptive responses to a changing environment. Here we provide evidence of a polarization of both peak load and overall electricity consumption under future warming for the world's third-largest electricity market-the 35 countries of Europe. We statistically estimate country-level dose-response functions between daily peak/total electricity load and ambient temperature for the period 2006-2012. After removing the impact of nontemperature confounders and normalizing the residual load data for each country, we estimate a common dose-response function, which we use to compute national electricity loads for temperatures that lie outside each country's currently observed temperature range. To this end, we impose end-of-century climate on today's European economies following three different greenhouse-gas concentration trajectories, ranging from ambitious climate-change mitigation-in line with the Paris agreement-to unabated climate change. We find significant increases in average daily peak load and overall electricity consumption in southern and western Europe (∼3 to ∼7% for Portugal and Spain) and significant decreases in northern Europe (∼-6 to ∼-2% for Sweden and Norway). While the projected effect on European total consumption is nearly zero, the significant polarization and seasonal shifts in peak demand and consumption have important ramifications for the location of costly peak-generating capacity, transmission infrastructure, and the design of energy-efficiency policy and storage capacity.

Enhanced economic connectivity to foster heat stress-related losses.

Assessing global impacts of unexpected meteorological events in an increasingly connected world economy is important for estimating the costs of climate change. We show that since the beginning of the 21st century, the structural evolution of the global supply network has been such as to foster an increase of climate-related production losses. We compute first- and higher-order losses from heat stress-induced reductions in productivity under changing economic and climatic conditions between 1991 and 2011. Since 2001, the economic connectivity has augmented in such a way as to facilitate the cascading of production loss. The influence of this structural change has dominated over the effect of the comparably weak climate warming during this decade. Thus, particularly under future warming, the intensification of international trade has the potential to amplify climate losses if no adaptation measures are taken.