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The economic impact of climate in the long run

Richard Tol

Working Paper Series from Department of Economics, University of Sussex Business School

Abstract: Early scholars were convinced that geography is destiny, that climate determines the human condition. Current economists by and large argue that institutions are destiny, that the only thing that matters to humans are other human beings. Neither position is tenable. I review the literature and present new empirical evidence that shows that climate does have a significant effect on development, that this effect is mediated by institutions, and that the effect shrinks with affluence.

Keywords: climate; development (search for similar items in EconPapers)
JEL-codes: N10 O10 O44 Q54 (search for similar items in EconPapers)
Date: 2020-06
New Economics Papers: this item is included in nep-ene, nep-env and nep-his
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Chapter: The Economic Impact of Climate in the Long Run (2021) Downloads
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Persistent link: https://EconPapers.repec.org/RePEc:sus:susewp:1120

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