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Climate change is the defining challenge of our time with complex and evolving dynamics. The effects of climate change on economic output and financial stability have received considerable attention, but there has been much less focus on the relationship between climate change and income inequality. In this paper, we provide new evidence on the association between climate change and income inequality, using a large panel of 158 countries during the period 1955–2019. We find that an increase in climate change vulnerability is positively associated with rising income inequality. More interestingly, splitting the sample into country groups reveals a considerable contrast in the impact of climate change on income inequality. While climate change vulnerability has no statistically significant effect on income distribution in advanced economies, the coefficient on climate change vulnerability is seven times greater and statistically highly significant in the case of developing countries due largely to weaker capacity for climate change adaptation and mitigation.
This book explores the challenges climate change poses to the endurance of democracy, situating this theme within the context of the decline in global freedom documented since the early 21st century. It discusses how disaster events have historically affected human reasoning and agency and how the climate crisis is likely to influence democratic development in the future. Climate extreme events can provide opportunities for autocratic leaders to curtail rights and freedoms, but they can also create critical junctures where the social and political discourse within society is reshaped and where incumbent regimes are contested. The book illustrates how climate change may generate food insecurity, economic recessions and deepen socioeconomic inequalities. These effects may contribute to democratic backsliding but can also create new conditions for social mobilization. The democratic consequences of climate change are thus not primarily determined by the forces of nature, but by human responses and the social, economic and political conditions of the affected country. In the long-term perspective, however, climate change will have several negative effects on democratic stability. The book concludes that for human freedom and democracy to endure, modern society needs to be brought into balance with nature. This volume will be of great interest to students and scholars of climate governance, environmental politics, energy policy and global development.
Climate change impacts social and economic systems worldwide. As rising temperatures, extreme weather events, and shifting ecological patterns rise, the effects impact human lives, mental health, and community stability. Vulnerable populations often bear the brunt of these changes, worsening inequalities and limiting access to resources. Economically, climate change disrupts industries, market dynamics, and costs in the public and private sectors. Understanding the relationship between climate change and social-economic factors is essential for developing effective policies and strategies to promote business resilience, equity, and sustainable development. Effects of Climate Change on Social and Economic Factors examines the social and economic effects of climate change on global businesses. It offers solutions for addressing climate change in policy, psychology, tourism, and finance among other sectors. This book covers topics such as climatology, mental health, and data science, and is a useful resource for environmental scientists, economists, sociologists, data scientists, psychologists, academicians, business owners, engineers, and researchers.
This book explores strategies for limiting transnational market failures, governance failures and constitutional failures impeding protection of the universally agreed sustainable development goals like climate change mitigation and access to justice and transnational rule-of-law. Can multilevel democratic and judicial protection of fundamental rights and public goods across frontiers be extended through plurilateral agreements? Can transnational economic and environmental constitutionalism be reconciled with ‘constitutional pluralism’ and with democratic constitutionalism depending on individual and democratic consent of free and equal citizens? Will judicial challenges (e.g. of EU carbon border adjustment measures) and countermeasures lead to further disruption of UN and WTO law? "This innovative book provides convincing analyses by leading practitioners and academics of multilevel governance of transnational public goods. It advocates the need for stronger involvement of civil society and democratic institutions. It shows why constitutionalism and constitutional economics offer appropriate methodologies for limiting market failures, government failures and constitutional failures. It thereby offers a glimpse of much needed optimism." Karl-Ernst Brauner, former Deputy Director-General of the World Trade Organization (WTO)
What is the impact of climate change on inflation and growth dynamics? This is not a simple question to answer as climate shocks tend to be ubiquitous, but with opposing effects simultaneously on demand and supply. The extent of which climate-related shocks affect inflation and economic growth also depends on long-run scarring in the economy and the country’s fiscal and institutional capacity to support recovery. In this paper, we use the local projection method to empirically investigate how climate shocks, as measured by climate-induced natural disasters, influence inflation and economic growth in a large panel of countries over the period 1970–2020. The results shows that both inflation and real GDP growth respond significantly but also differently in terms of direction and magnitude to different types of disasters caused by climate change. We split the full sample of countries into income groups—advanced economies and developing countries—and find a striking contrast in the impact of climate shocks on inflation and growth according to income level, state of the economy, and fiscal space when the shock hits.
Provides a fully organized, comprehensive, and holistic analysis of the impact of urban overheating, mitigation, and adaptation on energy, health, environmental quality, survivability, quality of life, and economy Mitigation and Adaptation of Urban Overheating aims to analyze and present all existing relative studies to investigate the global magnitude and characteristics of the ambient temperature drop and the reduction of the heat burden resulting from modified climate conditions due to the implementation of urban mitigation and adaptation technologies and policies. This book will discuss urban overheating, urban heat mitigation, governance, anthropogenic heat emissions, adaptation and adaptation technologies, and their impacts on urban environmental quality, urban health, energy supply and demand, low-income and aged populations, and the economy of cities. This book incorporates recent developments on urban climatology, urban overheating, mitigation, and adaptation technologies. - Provides quantitative and qualitative information to overcome and bridge the existing gap of knowledge regarding the impact of urban overheating, mitigation, and adaptation - Includes the latest developments on the evaluation of urban climatic change on energy, health, environment, society, and economy - Explains the impact of urban climatic change, mitigation technologies, and adaptation technologies on built environment
After several decades of increasing global economic integration, the world is facing the risk of policy-driven geoeconomic fragmentation (GEF). This note explores the ramifications. It identifies multiple channels through which the benefits of globalization were earlier transmitted, and along which, conversely, the costs of GEF are likely to fall, including trade, migration, capital flows, technology diffusion and the provision of global public goods. It explores the consequences of GEF for the international monetary system and the global financial safety net. Finally, it suggests a pragmatic path forward for preserving the benefits of global integration and multilateralism
The Economic and Financial Impacts of the COVID-19 Crisis Around the World: Expect the Unexpected provides an informed, research-based in-depth understanding of the COVID-19 crisis, its impacts on households, nonfinancial firms, banks, and financial market participants, and the effectiveness of the reactions of governments and policymakers in the United States and around the world. It provides reflections and perspectives on the social costs and benefits of various policies undertaken and a toolkit of preventive measures to deal with crises beyond the COVID-19 crisis. Authors Allen N. Berger, Mustafa U. Karakaplan, and Raluca A. Roman apply their expertise to the research and data on the COVID-19 economic crisis as well as draw on their own rich research experience. They take a holistic approach that compares and contrasts this crisis with other economic and financial crises and assesses economic and financial behavior and government policies in the booms before crises and the aftermaths following them, as well as the crises themselves. They do all this with a keen eye on "Expecting the Unexpected future crises, and policies that might anticipate them and provide better outcomes for society. - Serves as a compendium of available research and data on COVID-19, policies in response to the pandemic, and its effects on the real economy, banking sector, and financial markets - Contextualizes the COVID-19 economic crisis by comparing it to two other global crises from the past: the Crash of 1929 and the Global Financial Crisis of 2007–2009 - Helps illustrate how crises that originate in financial markets and in the banking sector differ from each other as well as from the COVID-19 crisis that harmed the real economy first - Compares the policies and outcomes of nations to the COVID-19 pandemic and assesses their costs and benefits, with potential implications for prospective future crises
While global challenges continue to reshape the here and now, public and corporate finance management needs to adapt quickly to increase the efficiency of institutions, enterprises and policies to face our new reality. There are very few publications that offer a comprehensive approach to the financing of environmental protection activities by the European Union. This book explores this topic from various angles and levels, as well as highlighting the determinants that influence micro- and macro-level decisions in this area. It presents an in-depth and unique analysis of the sources of funding for environmental measures implemented by European Union institutions, against the backdrop of national expenditure by Member States, and analyses the plausibility of the adopted targets in the run-up to 2050, in the context of the war in Ukraine and ad hoc energy policy solutions. This book is a voice in an ongoing discussion among the community of practitioners and theoreticians on sources of financing for the energy transition to achieve independence from Russian sources in the quickest possible timeframe. It demonstrates that environmental measures cannot occur without the financial participation of economic actors and financial institutions, particularly the capital market, and further underscores the scale of involvement in environmental projects, as measured by the value of green loans and green bonds covered by European financial institutions. The authors offer policy recommendations for financing activities related to environmental policy, notably energy transition. This book will appeal to scholars, students and researchers of corporate finance, banking, strategic and public finance management as well as polic-ymakers and practitioners involved in green finance investments.