A1789
Title: Identification of climate risk shocks: A proxy-SVAR approach
Authors: Giovanni Angelini - University of Bologna (Italy) [presenting]
Luca De Angelis - University of Bologna (Italy)
Abstract: The evaluation and measurement of the effects of climate change on macroeconomic outcomes is one of the current key challenges in modern economic literature and has recently received considerable attention. Climate change is largely a macroeconomic issue, for it requires the analysis of the global and long-run consequences of the dynamic exchange between natural systems and human activity to be given center stage. We investigate the macroeconomic effects of changes in climate physical risk by using the distribution of extreme weather events (extreme temperatures, heavy rainfall, drought, high wind, and sea level) as a proxy variable in a (proxy) structural vector autoregressive analysis.
