Monday, November 29, 2021
Home Climate411 New Paper From Richard Tol: The Economic Impact of Weather and Climate

New Paper From Richard Tol: The Economic Impact of Weather and Climate

-

I propose a new conceptual framework to disentangle the impacts of weather and climate on economic activity and growth: A stochastic frontier model with climate in the production frontier and weather shocks as a source of inefficiency. I test it on a sample of 160 countries over the period 1950-2014. Temperature and rainfall determine production possibilities in both rich and poor countries; positively in cold countries and negatively in hot ones. Weather anomalies reduce inefficiency in rich countries but increase inefficiency in poor and hot countries; and more so in countries with low weather variability. The climate effect is larger that the weather effect.

- Advertisment -

Related Articles

The Profound Junk Science of Climate

Climate change and wind and solar electricity are a snipe hunts, diverting the country from serious problems in favor of imaginary problems with imaginary...

Small Modular Reactors are needed in African countries

However a huge advantage of an HTMR-100 is that the reactor can be placed anywhere. Furthermore, a single reactor can have it own electricity...

Weather Lulls: Germany Forced To Burn 20% More Coal, The Very Energy Source That’s To Be Phased Out

The energy source that Germany moves to shut down, rescued the country from widespread blackouts in 2021.