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The Economic Impacts Of Global Warming On Chinese Cities

Author

Listed:
  • XIAO-CHEN YUAN

    (School of Management and Economics, Beijing Institute of Technology, Beijing 100081, P. R. China†Center for Energy and Environmental Policy Research, Beijing Institute of Technology, Beijing 100081, P. R. China‡Sustainable Development Research Institute for Economy and Society of Beijing, Beijing 100081, P. R. China)

  • ZHIMING YANG

    (#xA7;Donlinks School of Economics and Management, University of Science and Technology Beijing, Beijing 100083, P. R. China)

  • YI-MING WEI

    (School of Management and Economics, Beijing Institute of Technology, Beijing 100081, P. R. China†Center for Energy and Environmental Policy Research, Beijing Institute of Technology, Beijing 100081, P. R. China‡Sustainable Development Research Institute for Economy and Society of Beijing, Beijing 100081, P. R. China)

  • BING WANG

    (#xB6;School of Energy and Mining Engineering, China University of Mining and Technology (Beijing), Beijing 100083, P. R. China)

Abstract

There is a substantial concern for the economic impacts of global warming. This study identifies the effects of seasonal temperatures on total economic output in the cities of China, and then projects the changes in local economic performance under future climate and development scenarios. The results suggest that there are significant negative effects of warm seasonal temperature but positive effects of cold seasonal temperature on economic growth. These different effects increase as more lags of temperature are included. By 2090, the cities may have the average reduction of 44% in GDP per capita under RCP8.5, but some of them in Northeast China are predicted to get positive impacts under RCP2.6. The difference in the estimated aggregate impacts under the two RCPs could be as much as 24%. The poor cities are likely to have higher economic damages, which amplifies the economic inequality. Finally, the ranges of economic impacts projected by different climate models are presented.

Suggested Citation

  • Xiao-Chen Yuan & Zhiming Yang & Yi-Ming Wei & Bing Wang, 2020. "The Economic Impacts Of Global Warming On Chinese Cities," Climate Change Economics (CCE), World Scientific Publishing Co. Pte. Ltd., vol. 11(02), pages 1-16, May.
    • Handle: RePEc:wsi:ccexxx:v:11:y:2020:i:02:n:s2010007820500074
    DOI: 10.1142/S2010007820500074
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    Cited by:

    1. Chang, Jun-Jie & Mi, Zhifu & Wei, Yi-Ming, 2023. "Temperature and GDP: A review of climate econometrics analysis," Structural Change and Economic Dynamics, Elsevier, vol. 66(C), pages 383-392.
    2. Shouwei Li & Xin Wu, 2023. "How does climate risk affect bank loan supply? Empirical evidence from China," Economic Change and Restructuring, Springer, vol. 56(4), pages 2169-2204, August.
    3. Duan, Hongbo & Yuan, Deyu & Cai, Zongwu & Wang, Shouyang, 2022. "Valuing the impact of climate change on China’s economic growth," Economic Analysis and Policy, Elsevier, vol. 74(C), pages 155-174.

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