Global Economy Vulnerable To Climate Change: Study
4 degree Celsius rise will lower global GDP by 40% by 2100 as against 11% previous estimate by University of New South Wales
Global Economy Vulnerable To Climate Change: Study
New Delhi: A team of Australian researchers on Tuesday said that 4-degree Celsius rise in global temperatures would cut world GDP by around 40 per cent by 2100 – a sharp increase from previous estimates of around 11 per cent.
New projections by the University of New South Wales (UNSW) Institute for Climate Risk and Response (ICRR) – published in the journal Environmental Research -- fixes an oversight in the current economic model underpinning global climate policy, toppling previous carbon benchmarks.According to the analysis, the results support limiting global warming to 1.7-degree Celsius, which is in line with significantly faster decarbonisation goals like the Paris Agreement, and far lower than the 2.7-degree Celsius supported under previous models.
“Economists have traditionally looked at historical data comparing weather events to economic growth to cost climate damages,” said lead researcher Dr Timothy Neal, a ‘Scientia Senior Lecturer’ in the School of Economics and also the ICRR.
What they fail to account for, he said, are interruptions to the global supply chains currently buffering economic shocks.
