Climate Change Economics

Setting the Agenda in Research

Economics and Finance of Climate Change

Climate Science and Data


Recently Added

Climate Science Basics

  • Hsiang, Solomon and Robert E. Kopp, “An Economist’s Guide to Climate Change Science,” Journal of Economic Perspectives, Fall 2018, 32(4), 3-12. Highlights
  • Hsiang, Solomon, 2016. “Climate Econometrics,”Annual Review of Resource Economics, 8: 43-75.

Intergovernmental Assessment

Survey Articles

  • Auffhammer, Maximilian, (2018). “Quantifying Economic Damages from Climate Change,” Journal of Economic Perspectives, 32:4, 33-52. Highlights
  • Carleton, Tamma A. and Solomon M. Hsiang, “Social and Economic Impacts of Climate,” Science, 2018.
  • Dell,Melissa, Benjamin F. Jones, and Benjamin A. Olken,  “What Do We Learn fron the Weather? The New Climate-Economy Literature,” Journal of Economic Literature, 2014, 52(3), 740-798. Highlights
  • GIllingham,Kenneth and James H. Stock, “The Cost of Reducing Greenhouse Gas Emissions,” Journal of Economic Perspectives, Fall 2018, 32(4), 53-72.
  • Heal, G. and J. Park, (2016). “Temperature Stress and Direct Impact of Climate Change: A Review of an Emerging Literature,” Review of Environmental Economics and Policy, 10, 347-362. Highlights
  • Keen, Steve, Timothy M. Lenton, Antoine Godin, Devrim Yilmaz, Matheus Grasselli and Timothy J. Garrett, 2021, mimeo.  “Economists’ Erroneous Estimates of Damages from Climate Change.
  • Stanford Institute for Economic Policy Research, “Ten Facts about the Economics of Climate Change and Climate Policy”
  • Stern, Nicholas, “The Economics of Climate Change,” American Economic Review: Papers & Proceedings, 2008, 98:2, 1-37. The Richard T. Ely Lecture
  • Tol, Richard SJ (2009), “The economic effects of climate change.” The Journal of Economic Perspectives, 23, 29–51. Highlights
  • Tol, Richard SJ (2018), “The Economic Impacts of Climate Change,” Review of Environmental Economics and Policy, 12:1, 4-25.

Uncertainty in Climate Change Economics

  • Anthoff and Tol“Testing the Dismal Theorem,” CESifo wp 8939.
  • Barnett, Michael, William Brock, and Lars P. Hansen. “Pricing Uncertainty Induced by Climate Change” Review of Economic Studies, 2020.
  • Barnett, Michael, William Brock, and Lars P. Hansen, “Climate Change Uncertainty Spillover in the Macroeconomy,” NBER WP 29064, July 2021.
  • Donadelli, Michael, Marcus Juppner, and Sergio Vergalli, June 2021. “Temperature Variability and the Macroeconomy: A World Tour,” Environmental and Resource EconomicsHighlights
  • Donadelli, Michael, Marcus Juppner, Antonio Paradiso, and Christian Schlag, “Computing Macro-Effects and Welfare Costs of Temperature Volatility: A Structural Approach,” Computational Economics  (2021) 58:347-394.
  • Weitzman, Martin, 2014, “Fat Tails and the Social Cost of Carbon”, AER papers and proceedings.
  • Weitzman, Martin L. 2009. “On Modeling and Interpreting the Economics of Catastropic Climate Change,Review of Economics and Statistics.

Integrated Assessment Models, Estimating Damages and the Social Cost of Carbon.

Empirical Research on Temperature and Macroeconomic Activity/Damages: International

Labor Productivity Mechanism

The Agricultural Mechanism

  • Anthony C. Fisher, W. Michael Hanemann, Michael J. Roberts and Wolfram Schlenker, Comment on Deschenes and Greenstone. “The Economic Impacts of Climate Change: Evidence from  Agricultural Output and Random Fluctuations in Weather: Comment.” AER, 2012.
  • Deschenes and Greenstone, “The Economic Impacts of Climate Change: Evidence from Agricultural Output and Random Fluctuations in Weather,” AER, 2007.
  • Deschenes and Greenstone “The Economic Impacts of Climate Change: Evidence from Agricultural Output: Reply 2012.
  • Deschenes and Greenstone “Climate Change, Mortality, and Adaption: Evidence from Annual Fluctuations in Weather in the US,” AEJ: Applied 2011.
  • Dietz, Simon and Bruno Lanz “Can a Growing World be Fed when the Climate is Changing?” University of Neuchatel Institute of Economic Research IRENE WP 19-09.
  • Nath, Ishan. “The Food Problem and Aggregate Productivity Consequences of Climate Change,”  mimeoUniversity of Chicago, 2022.

Tourism Channel

Empirical Research on Temperature and Macroeconomic Activity/Damages: United States

Extreme Weather Events

  • Bakkason and Barrage (2018) “Climate Shocks, Cyclones, and Economic Growth: Bridging the Micro-Macro Gap” (conditionally accepted at EJ). Highlights

Finance and Climate


  • Barrea, et al. (2016) “Adapting to Climate Change: The RemarkableDecline in the US Temperature-MortalityRelationship over the Twentieth Century,” Journal of Political Economy
  •  Burke, Marshall and Kyle Emerick, 2016. “Adaptation to Climate Change: Evidence from US Agriculture,” American Economic Journal: Economic Policy, 8(3): 106-140. Highlights
  • Behrer, A. Patrick and Jisung Park, “Will We Adapt? Termperature, Labor and Adaptation to Climate Change,” 2017, mimeo, Harvard University. Highlights
  • Bento, Antonio, Noah Miller, Mehreen Mookerjee, and Edson Severnini, “Time is of the Essence: Climate Adaption Induced by  Existing Institutions,” NBER WP No. 28783.
  • Beher and Park “Will We Adapt? Temperature, Labor and Adaptation to Climate Change,”  (mimeo)
  • Choi, Darwin, Zhenyu Gao and Wenxi Jiang. “Attention to Global Warming,” mimeo, July 2019.
  • de Bandt, Olivier, Luc Jacolin, and Thibault Lemaire. “Climate Change in Developing Countries: Global Warming Effects, Transmission Channels and Adaptation Policies,” Bank of France WP 822, July 2021. Highlights
  • Rudik, Ivan, Gary Lyn, Weiliang Tan and Ariel Ortiz-Bobea.  “Heterogeneity and Market Adaption to Climate Change in Dynamic-Spatial Equilibrium, mimeo, June 2021. Highlights
  • Rudik, Ivan, Gary Lyn, Weiliang Tan, and Ariel Ortiz-Bobea, June 2021. “Heterogeneity and Market Adaptation to Climate Change in Dynamic-Spatial Equilibrium,” mimeoHightlights
  • Sanders, Nicholas J. and Alan J. Barreca, “Adaptation to Environmental Change: Agriculture and the Unexpected Incidence of the Acid Rain Problem,” AEJ: Policy, 2022.

Other Empirical Work

Carbon Taxes and Trading Permits

Climate Policy

  • Fried, Stephie,  Kevin Novan, and William B. Peterman. “The Systematic Risk of Climate Policy”, mimeo Nov. 2019.
  • Zechhauser, Richard and Joseph e. Aldy. “Three Prongs for Prudent Climate Policy,” NBER WP 26991, April 2020.
  • Farrokhi, Farid and Ahmad Lashkaripour. “Can Trade Policy Mitigate Climate Change?” mimeo, Purdue University.

Stranded Assets

Things to Read

Other resources

Continuous Time Optimal Control

Environmental and Energy Policy and the Economy Edited by Kotchen, Stock and Wolfram

Cai and Judd. New Powerful Method

Other Research

Milwaukee Club Hesburgh Lecture