Economists Warn: Global Warming Could Cause Economic Damage SIX TIMES Higher than Previously Thought

Two economists have now come to a startling conclusion about the economic consequences of global warming. The new paper states that the economic damage caused by an unchecked rise in temperature would be six times higher than previously thought. A 1 degree increase in global temperature could reduce global economic growth by up to 12 percent, with long-term effects comparable to those seen during the Great Depression of the 1930s.

The authors, Swiss economist Diego Känzig and Adrien Bilal from Harvard University, conducted multiple tests on their model and were convinced of their result. They found that extreme weather events will increase more than previously assumed in economic models, leading to reductions in productivity and capital losses from damage to infrastructure.

However, critics argue that the paper does not take into account the world’s adaptation to climate change or the potential catastrophic consequences of tipping points in ecosystems due to warming. Despite this, Känzig maintains that more economic research is needed to address the significant relevance of the issue.

The paper has already brought about a rethinking in international climate policy and investments in climate-friendly technologies. It could lead to a shift towards greater investment in climate protection and a better understanding of the long-term economic costs of climate change.