Economics, institutions and adaptation to climate change
Adaptation to the consequences of climate change has attracted increasing interest as a necessary complement to greenhouse gas mitigation. Economic approaches to climate adaptation are rarely articulated and discussed explicitly despite many benefits of such a framework-level discourse. Therefore, this article investigates how climate adaptation is framed and approached in economics and attempts to contribute to the development of economic frameworks of climate adaptation. First, the paper identifies and critically reviews four major strands of current adaptation economics: estimation of adaptation benefits and costs, strategies for adaptation, the role of markets and governments, and policy instruments for adaptation. While having their merits, serious methodical difficulties prevail. Moreover, the applied neoclassical framing seems too narrow to capture the plethora of governance challenges and normative criteria revealed in adaptation policy discourses and in the multidisciplinary adaptation literature. The second part of this article outlines an institutional economics approach to climate adaptation that addresses caveats in the current state-of-the-art and offers additional concepts to study climate adaptation. Moreover, promising methods and strategies for adaptation research are presented and future research directions suggested. Finally, the paper assesses the normative foundations of climate adaptation economics and their implications for positive adaptation research.
|Date of creation:||2011|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: +49 +761 / 203 2301
Fax: +49 +761 / 203 2303
Web page: http://www.wipo.uni-freiburg.de/
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Russell Sobel & Peter Leeson, 2006. "Government's response to Hurricane Katrina: A public choice analysis," Public Choice, Springer, vol. 127(1), pages 55-73, April.
- Vanberg, Viktor J., 2005. "Market and state: the perspective of constitutional political economy," Journal of Institutional Economics, Cambridge University Press, vol. 1(01), pages 23-49, June.
- de Bruin, Kelly Chloe & Weikard, Hans-Peter & Dellink, Rob, 2011. "The Role of Proactive Adaptation in International Climate Change Mitigation Agreements," CERE Working Papers 2011:9, CERE - the Center for Environmental and Resource Economics.
- Stine Aakre & Dirk Rubbelke, 2010. "Objectives of public economic policy and the adaptation to climate change," Journal of Environmental Planning and Management, Taylor & Francis Journals, vol. 53(6), pages 767-791.
- World Bank, 2010. "Economics of Adaptation to Climate Change : Synthesis Report," World Bank Other Operational Studies 12750, The World Bank.
- William Shughart, 2006. "Katrinanomics: The politics and economics of disaster relief," Public Choice, Springer, vol. 127(1), pages 31-53, April.
- Neumärker, Bernhard & Pech, Gerald, 2010. "Penalties in the theory of equilibrium tax evasion: Solving King John's problem," The Constitutional Economics Network Working Papers 01-2010, University of Freiburg, Department of Economic Policy and Constitutional Economic Theory.
- Bernhard Neumärker & Gerald Pech, 2011. "Penalties in the Theory of Equilibrium Tax Evasion: Solving King John's Problem," Public Finance Review, , vol. 39(1), pages 5-24, January.
- Lecocq, Franck & Shalizi, Zmarak, 2007. "Balancing expenditures on mitigation of and adaptation to climate change : an exploration of Issues relevant to developing countries," Policy Research Working Paper Series 4299, The World Bank.
- van den Bergh, Jeroen C. J. M., 2004. "Optimal climate policy is a utopia: from quantitative to qualitative cost-benefit analysis," Ecological Economics, Elsevier, vol. 48(4), pages 385-393, April.
- Paavola, Jouni & Adger, W. Neil, 2005. "Institutional ecological economics," Ecological Economics, Elsevier, vol. 53(3), pages 353-368, May.
- Klaus Eisenack & Rebecca Stecker, 2012. "A framework for analyzing climate change adaptations as actions," Mitigation and Adaptation Strategies for Global Change, Springer, vol. 17(3), pages 243-260, March.
- Roger Congleton, 2006. "The story of Katrina: New Orleans and the political economy of catastrophe," Public Choice, Springer, vol. 127(1), pages 5-30, April.
- Howard Kunreuther & Mark Pauly, 2006. "Rules rather than discretion: Lessons from Hurricane Katrina," Journal of Risk and Uncertainty, Springer, vol. 33(1), pages 101-116, September.
- Hallegatte, Stephane & Lecocq, Franck & de Perthuis, Christian, 2011.
"Designing climate change adaptation policies : an economic framework,"
Policy Research Working Paper Series
5568, The World Bank.
- Lecocq, Franck & Hallegatte, Stéphane & De Perthuis, Christian, 2011. "Designing Climate Change Adaptation Policies : An Economic Framework," Economics Papers from University Paris Dauphine 123456789/7780, Paris Dauphine University.
- Fankhauser, Samuel & Smith, Joel B. & Tol, Richard S. J., 1999. "Weathering climate change: some simple rules to guide adaptation decisions," Ecological Economics, Elsevier, vol. 30(1), pages 67-78, July.
- Howard Kunreuther & Mark Pauly, 2006. "Rules Rather Than Discretion: Lessons from Hurricane Katrina," NBER Working Papers 12503, National Bureau of Economic Research, Inc.
- Daniel Osberghaus & Astrid Dannenberg & Tim Mennel & Bodo Sturm, 2010. "The role of the government in adaptation to climate change," Environment and Planning C: Government and Policy, Pion Ltd, London, vol. 28(5), pages 834-850, October.
- Richard S. J. Tol, 2009. "The Economic Effects of Climate Change," Journal of Economic Perspectives, American Economic Association, vol. 23(2), pages 29-51, Spring.
When requesting a correction, please mention this item's handle: RePEc:zbw:cenwps:042011. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (ZBW - German National Library of Economics)
If references are entirely missing, you can add them using this form.