Heat and Productivity: Evidence from Flight On-Time Performance

Zhanhan Yu and Ying Shi

Journal of the Association of Environmental and Resource Economists, 2025, vol. 12, issue 5, 1243 - 1275

Abstract: We investigate the impact of high temperatures on productivity using microdata from the US airline industry. By linking high-frequency on-time flight performance measures with meteorological data, we show that higher temperatures significantly reduce airline productivity by increasing cancellation and departure delay rates and lengthening delay times. Complementary analyses using a sample of transportation workers from the American Time-Use Survey (ATUS) suggest that higher temperatures reduce labor supply (fewer hours worked and greater worker absenteeism) and adversely impact well-being measures such as sleep quality, which may affect on-the-job-productivity.

Date: 2025
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