Resources: Economic Impacts and Opportunities

Resources: Economic Impacts of Climate Change

Here are some resources that will help you better understand the economic impact of CDR.

  • Deloitte’s Global Turning Point Report reveals that inaction on climate change could cost the world’s economy US$178 trillion by 2070, May 2022

  • NPR Article on The Future Cost of Climate Inaction which highlights that climate change can lead to shrinkage in the economy, rises federal insurance and post-disaster aid costs from storms, floods, wildfires, and other extreme events, and other areas where economic impacts are difficult to quantify such as national security risks, human health, and changes to ecosystems and infrastructure), April 2022

Here is another assessment of the economic impact:

According to Keefe, citing National Oceanic and Atmospheric Administration (Noaa) figures, climate-related weather disasters cost the US economy more than $145bn in 2021 – a nearly 50% increase from last year. Over the last five years, they have cost $750bn. Since 1980 323 weather and climate disasters have cost $1bn or more, the total cost of these events exceeds $2.195T.
Source

A quick excerpt from a study by Swiss Re (a large re-insurance company, that is a company that insures insurance companies, risk assessments are their core business).

Climate change poses the biggest long-term threat to the global economy. If no mitigating action is taken, global temperatures could rise by more than 3°C and the world economy could shrink by 18% in the next 30 years. But the impact can be lessened if decisive action is taken to meet the targets set in the Paris Agreement (…)
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From the same source:

There is more, this one from the Fourth National Climate Assessment

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And this one which specifically looks at crop loss

Using econometric analysis in combination with observed and simulated changes in county-level temperature, we show that global warming has already contributed substantially to rising crop insurance losses in the U.S. For example, we estimate that county-level temperature trends have contributed $US2017 27.0 billion—or 19%—of the national-level crop insurance losses over the 1991–2017 period. Further, we estimate that observed warming contributed almost half of total losses in the most costly single year (2012). In addition, analyses of a large suite of global climate model simulations yield very high confidence that anthropogenic climate forcing has increased U.S. crop insurance losses. These sector-specific estimates provide important quantitative information about the financial costs of the global warming that has already occurred (including the costs of individual extreme events), as well as the economic value of mitigation and/or adaptation options.
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Economic Opportunities of CDR

Here are some resources about the economic opportunities related to CDR

Buying down the Cost of Direct Air Capture, Klaus S. Lackner and Habib Azarabadi, nd. Eng. Chem. Res. 2021, 60, 22, 8196–8208Publication Date: May 26, 2021 (pay wall)

Rhodium Group’s Report: Capturing New Jobs - The employment opportunities associated with scale-up of Direct Air Capture (DAC) technology in the US (this report provides job projections through 2050 in different industries that would help develop, deploy, and maintain large-scale DAC facilities)

PwC report entitled State of Climate Tech 2021