During the 8th AIEAA Conference “Tomorrow’s Food: Diet transition and its implications on health and the environment”, held in Pistoia, 13-14 June 2019, COACCH researcher Shouro Dasgupta (CMCC) presented the paper “A chink in the armour: How strong European economies are threatened by climate change”. This paper combines high-resolution climatic data, sub-national labour productivity data with spatial econometrics to investigate climate change impacts on sectoral labour productivity in the EU (268 NUTS-2 regions). Results show that the optimal ambient temperature (WBGT) maximizing labour productivity varies significantly across the three economic sectors; 8.9°C for agriculture, 11.3°C for industry, and 17.9°C for services. For projections, this paper takes a novel approach by estimating the future impacts for the 1.5°C (Paris Agreement) and the 2°C (NDC) scenarios and finds that under a 2°C warming scenario (≈ 2060), future climate change will result in 8.2% and 7.5% decline in agriculture and industrial labour productivity, respectively.

See Conference programme here