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Estimation of climate change damage functions for 140 regions in the GTAP9 database

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  • Roson, Roberto
  • Sartori, Martina

Abstract

Climate change damage (or, more correctly, impact) functions relate variations in temperature (or other climate variables) to economic impacts in various dimensions, and are at the basis of quantitative modeling exercises for the assessment of climate change policies. This document provides a summary of results from a series of meta-analyses aimed at estimating parameters for six specific damage functions, referring to: sea level rise, agricultural productivity, heat effects on labor productivity, human health, tourism flows and households' energy demand. All parameters of the damage functions are estimated for each of the 140 countries and regions in the GTAP9 dataset. To illustrate the salient characteristics of our estimates, we approximate the change in real GDP for the different effects, in all regions, corresponding to an increase in average temperature of +3°C. After considering the overall impact, we highlight which factor is the most significant one in each country, and we elaborate on the distributional consequences of climate change.

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  • Roson, Roberto & Sartori, Martina, 2016. "Estimation of climate change damage functions for 140 regions in the GTAP9 database," Conference papers 332688, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
  • Handle: RePEc:ags:pugtwp:332688
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    Cited by:

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    2. Lucas Bretschger & Evgenij Komarov, 2023. "All Inclusive Climate Policy in a Growing Economy: The Role of Human Health," CER-ETH Economics working paper series 23/384, CER-ETH - Center of Economic Research (CER-ETH) at ETH Zurich.
    3. Gabriele Standardi & Shouro Dasgupta & Ramiro Parrado & Enrica Cian & Francesco Bosello, 2023. "Assessing Macro-economic Effects of Climate Impacts on Energy Demand in EU Sub-national Regions," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 86(1), pages 173-201, October.
    4. Felipe Beltrán & Luigi Durand & Mario González-Frugone & Javier Moreno, 2023. "A Preliminary Assessment of the Economic Effects of Climate Change in Chile," Working Papers Central Bank of Chile 997, Central Bank of Chile.
    5. Cortina, Magdalena & Madeira, Carlos, 2023. "Exposures to climate change's physical risks in Chile," Latin American Journal of Central Banking (previously Monetaria), Elsevier, vol. 4(2).
    6. Shuyang Chen & Mingyu Li & Can Wang, 2023. "The primary benefits of the Nationwide Emission Trading Scheme in China," Mitigation and Adaptation Strategies for Global Change, Springer, vol. 28(8), pages 1-17, December.
    7. Liao, Hua & Ye, Huiying, 2023. "Endogenous economic structure, climate change, and the optimal abatement path," Structural Change and Economic Dynamics, Elsevier, vol. 65(C), pages 417-429.
    8. Bekkers, Eddy & Yilmaz, Ayse Nihal & Bacchetta, Marc & Ferrero, Mateo & Jhunjhunwala, Kirti & Métivier, Jeanne & Okogu, Bright E. & Ramos, Daniel & Tresa, Enxhi & Xu, Ankai, 2024. "A global framework for climate mitigation policies: A technical contribution to the discussion on carbon pricing and equivalent policies in open economies," WTO Staff Working Papers ERSD-2024-03, World Trade Organization (WTO), Economic Research and Statistics Division.
    9. Makarov, I. & Chernokulsky, A., 2023. "Impacts of climate change on the Russian economy: Ranking of regions by adaptation needs," Journal of the New Economic Association, New Economic Association, vol. 61(4), pages 145-202.

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