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Climate Change Adaptation and Development: A Conceptual Framework

Author

Listed:
  • Cavatassi, Romina

    (World Bank)

  • Garg, Teevrat

    (University of California, San Diego)

  • Graff Zivin, Joshua

    (UC San Diego)

  • Paolantonio, Adriana

    (World Bank)

  • Vargas, David

    (UC San Diego)

  • Wollburg, Philip

    (World Bank)

Abstract

Climate change is reshaping the economic environment in which households make decisions, generating diverse adaptive responses and increasing the need for data that can guide effective policy. Yet current measurement efforts remain fragmented, reflecting two key gaps: limited systematic data on household adaptation and the lack of a structured framework to interpret it. This paper addresses both by developing a literature-informed framework for diagnosing household-level climate adaptation, focusing on adjustments in income-generating activities as a primary response to climate risk. The framework follows four stages: mapping income streams, assessing exposure, identifying feasible responses, and analysing take-up alongside the constraints that limit adoption. It integrates both objective and subjective dimensions of exposure, recognising the role of perceptions, beliefs, and information. By situating decisions within broader institutional and economic contexts, the framework can inform survey design, improve diagnosis of adaptation gaps, and generate more policy-relevant and comparable data to support efforts to scale effective adaptation and strengthen household climate resilience.

Suggested Citation

  • Cavatassi, Romina & Garg, Teevrat & Graff Zivin, Joshua & Paolantonio, Adriana & Vargas, David & Wollburg, Philip, 2026. "Climate Change Adaptation and Development: A Conceptual Framework," IZA Discussion Papers 18464, IZA Network @ LISER.
  • Handle: RePEc:iza:izadps:dp18464
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    JEL classification:

    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation
    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure

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