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The Effect of Climate Change on Economic Growth: Evidence from Sub-Saharan Africa

Author

Listed:
  • Paul Alagidede
  • George Adu
  • Prince Boakye Frimpong

Abstract

This paper is a contribution to the empirics of climate change and its effect on sustainable economic growth in Sub-Saharan Africa. Using data on two climate variables, temperature and precipitation, and employing panel cointegration techniques, we estimate the short- and long-run effects of climate change on growth. We establish that an increase in temperature significantly reduces economic performance in Sub-Saharan Africa. Furthermore, we show that the relationship between real gross domestic product per capita on one hand, and the climate factors on the other, is intrinsically non-linear.

Suggested Citation

  • Paul Alagidede & George Adu & Prince Boakye Frimpong, 2014. "The Effect of Climate Change on Economic Growth: Evidence from Sub-Saharan Africa," WIDER Working Paper Series wp-2014-017, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:wp-2014-017
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    File URL: https://www.wider.unu.edu/sites/default/files/wp2014-017.pdf
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    References listed on IDEAS

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    8. Joseph Mawejje, 2016. "Food prices, energy and climate shocks in Uganda," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 4(1), pages 1-18, December.
    9. Mark Edem Kunawotor & Godfred Alufar Bokpin & Patrick O. Asuming & Kofi A. Amoateng, 2022. "The implications of climate change and extreme weather events for fiscal balance and fiscal policy in Africa," Journal of Social and Economic Development, Springer;Institute for Social and Economic Change, vol. 24(2), pages 470-492, December.
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