Purpose - Egypt could face total water depletion by 2050 due to the current waterscarcity of aboutseven billion cubic meters. Climatic shocks worsen this crisis, alongside Ethiopia's unilateral construction of the Grand Ethiopian Renaissance Dam (GERD). This has caused a stalemate, raising...

Physical climate risks significantly influence banks' collateral practices. Drawing on comprehensive loan-level data from Sweden, we find that adverse weather events increase both the likelihood and the amount of collateral required for new loans. For existing loans, banks are less inclined to...

This study examines the interplay between extreme temperatures and air pollution risks, the geographic and temporal distribution, as well as the population burden of climate shocks in Bangladesh, Indonesia, Pakistan, Thailand, and Viet Nam-countries severely impacted by climate change. Using...

This study empirically investigates the impact of climate change on the incidence of noncommunicable diseases among older population in India. Using demographic and health surveys from 2019-2021 linked with georeferenced meteorological data at local levels, and a specification that controls for...

As climate negotiators gathered in Belém for the 30th Conference of the Parties to the United Nations Framework Convention on Climate Change (COP30), the surrounding rainforest was in the spotlight, with COP30 being dubbed a “forest COP”. As one of its key projects, the Brazilian government...

This paper has explored heterogeneous individual valuations of an important amenity, climate mildness, using a traditional Rosen-Roback empirical framework. It does so by including interaction terms between the amenity and worker characteristics in an hedonic wage regression that also include a...

Climate change is widely recognized as a driver of violent conflict, but its broader social effects remain less understood. Ignoring these dimensions risks a vicious cycle where climate policies might undermine socially just adaptation. Evidence is still limited on how climate shocks influence...

Globally, climate change is an important driver of mobility. Climate change will increase mobility in Madagascar. Given the climate change forecasts and population growth, it is expected that the number of climate migrants will increase in Madagascar. Currently, there is insufficient data to...

The aim of this report is, first, to inform about the current and projected changes to heat stress hazard and exposure as a result of climate change, particularly in urban areas; second, highlight the socioeconomic impacts of heat, including on human health, labor productivity, and mortality;...

The Strategic Roadmap for Carbon Market and Climate Finance in the Forest Sector, tailored for each of the Congo Basin countries (Cameroon, Central African Republic, Democratic Republic of Congo, Equatorial Guinea, Gabon, and the Republic of Congo), provides a comprehensive, country-specific...

The Strategic Roadmap for Carbon Market and Climate Finance in the Forest Sector, tailored for each of the Congo Basin countries (Cameroon, Central African Republic, Democratic Republic of Congo, Equatorial Guinea, Gabon, and the Republic of Congo), provides a comprehensive, country-specific...

The Strategic Roadmap for Carbon Market and Climate Finance in the Forest Sector, tailored for each of the Congo Basin countries (Cameroon, Central African Republic, Democratic Republic of Congo, Equatorial Guinea, Gabon, and the Republic of Congo), provides a comprehensive, country-specific...

This study “Assessment and support for the preparation and development of roadmaps on climate finance and carbon markets for the forests of the Congo Basin” has been carried out under the umbrella of the World Bank’s Advisory Support and Analytics (ASA) initiative, 'Leveraging Natural...

Climate change is reshaping sovereign risk and macroeconomic stability by amplifying fiscal and external fragilities. This paper develops a unified framework to assess how climate vulnerability and resilience jointly influence fiscal–external solvency. We construct a market-based...

Dynamic social norms have been recognized as a promising approach to promote energy sufficiency. By highlighting trends and future shifts rather than current states, dynamic norms allow for a better focus on emerging norms that are not widely adopted. While existing studies predominantly examine...

Carbon pricing is widely recognized as a key tool for reducing greenhouse gas emissions. However, if implemented without compensatory measures, it can increase poverty and inequality. The aim of this paper is to examine the role of carbon pricing in generating fiscal space for expanding social...

This paper examines how income inequality affects environmental outcomes through the interplay of household consumption and political support for climate policy. We develop an agent-based model in which households differ by income, consumption patterns, and climate policy attitudes. Our results...

Research on conspiracy theories and predictors that explain susceptibility to believing in conspiracy theories (conspiracy mentality) has already led to a considerable body of academic contributions. Nevertheless, we see the necessity to continue working on higher-level frameworks that summarize...

This work presents a modified version of the integrated economic-climate model RICECH₄. The aim of the work was to expand the basic RICE model by explicitly accounting for methane (CH₄) emissions along with traditional carbon dioxide (CO₂) emissions, as well as the subsequent analysis of...

We provide causal evidence that the economic framing of a structural policy changes households' macroeconomic expectations. In a randomized survey experiment in the Bundesbank Online Panel of Households, all participants first read an identical neutral primer about climate policy measures and...

Coastal zones are among the environments most threatened by climate change. Although various efforts for global mapping and classification of coastal social and ecological systems have been undertaken, the ability to analyse and describe the spatial heterogeneity and multidimensionality of these...

Public acceptance has influenced the evolution of carbon capture and storage (CCS) in Europe. To study the mechanisms behind this, we use evolutionary game theory where the governmental policy towards CCS, such as subsidies to the industry, is dependent on public acceptance. Public acceptance...

This paper examines the relevance of banks' exposure to climate transition risk in the interbank lending market. Using transaction-level data on repo agreements, we first establish that banks with higher exposure to transition risk face significantly higher borrowing costs. This premium is a...

We develop a unified cost-benefit framework that allows for a better understanding of nature conservation and climate policies under risk and uncertainty. We derive modified Hotelling rules from a social planner’s welfare optimization. They reveal four forces that jointly determine market...

The study examines economic growth and climate change when system competition between countries causes drastic changes in their climate policies. The world is divided into two groups of countries: one that implements strict climate policies and another that refrains from doing so due to concerns...

We characterize optimal climate policy in an economy with heterogeneous households and non-homothetic preferences. We focus on constrained efficiency, where the planner is restricted from transferring resources across households. We derive three results. First, the constrained-optimal carbon tax...

We study how mandatory climate-related disclosure affects bank lending using the phased introduction of the EU Taxonomy Regulation. Exploiting the staggered development and implementation of the regulation, we distinguish banks’ responses to anticipated disclosure requirements from their...

The climate crisis requires a transition from a fossil-fuel energy system to renewable energy which is heavily reliant on the so-called critical minerals. Both sets of resources are finite/non-renewable and have been widely used for generations. Previous energy related studies have identified...

Global warming remains one of the greatest threats to the sustainability of the planet. The literature is replete with studies investigating the economic effects of global warming with very little attention being paid to the financial ramifications. To this end, the present study attempts to...

A review is presented of the macroeconomics of climate change and policy. The review starts with a tractable workhorse model of the macroeconomics of climate and carbon pricing. It then discusses extensions to multiple countries. A discussion of the effects of macroeconomic and climate...

I study a formal mechanism that can sustain Pareto optimality in a new and very broad class of dilemma games. In the absence of a central authority that could enforce multilateral agreements, the mechanism is based on binding unilateral commitments, which condition a playerís (possibly...

Carbon dioxide removal (CDR) is considered essential for climate change mitigation, yet its optimal role in climate policy remains unclear in the presence of non-permanent storage, en-ergy constraints, and fossil fuel scarcity. We integrate CDR into an analytic integrated assess-ment model to...

This study evaluated how different SSP scenarios affect solar energy potential in Türkiye's GAP region by examining projected changes in surface downwelling shortwave radiation (RSDS), air temperature (Tas), and photovoltaic cell temperature (Tcell), along with their implications for...