Development, Climate Change Adaptation, and Maladaptation: Some Econometric Evidence

Francesco Bosello and Shouro Dasgupta

No 2015.97, Working Papers from Fondazione Eni Enrico Mattei

Abstract: This paper examines the determinants of climate related disasters and attempts to estimate the presence of adaptive capacity in terms of per capita income and population density elasticities. We find evidence of adaptive capacity in a “weak” form both in terms of income and population density elasticities over our entire sample. That is, damages are in fact increasing with income and population, but less than proportionally. There is also evidence of countries improving their adaptive capacity over the long run, but of maladaptation occurring in the short run. Repeating the analysis splitting the sample by per-capita income levels, we find that higher income countries show adaptive capacity in a “strong form”, i.e. damages decrease with GDP, while lower income countries highlight exactly the opposite behavior. Finally, using Granger causality tests for panel data, we find evidence of increase in GDP per capita Granger causing climate related damages for lower income countries, but not in higher income countries.

Keywords: Climate Change Damages; Adaptation; Panel Granger Causality (search for similar items in EconPapers)
JEL-codes: C19 Q54 Q56 (search for similar items in EconPapers)
Date: 2015-10
New Economics Papers: this item is included in nep-agr and nep-env
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://feem-media.s3.eu-central-1.amazonaws.com/w ... oads/NDL2015-097.pdf (application/pdf)

Related works:
Working Paper: Development, Climate Change Adaptation, and Maladaptation: Some Econometric Evidence (2016)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:fem:femwpa:2015.97

Access Statistics for this paper

More papers in Working Papers from Fondazione Eni Enrico Mattei Contact information at EDIRC.
Bibliographic data for series maintained by Alberto Prina Cerai (alberto.prinacerai@feem.it this e-mail address is bad, please contact repec@repec.org).