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 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.

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.