The Effect of Climate Change on Economic Growth: Evidence from Sub-Saharan Africa

Abstract

This paper is a contribution to the empirics of climate change and its effect on sustainable economic growth in Sub-Saharan Africa. Using data on two climate variables, temperature and precipitation, and employing panel cointegration techniques, we estimate the short- and long-run effects of climate change on growth. We establish that an increase in temperature significantly reduces economic performance in Sub-Saharan Africa. Furthermore, we show that the relationship between real gross domestic product per capita on one hand, and the climate factors on the other, is intrinsically non-linear.

Citation

Adu, G.; Alagidede, P.; Frimpong, P. The Effect of Climate Change on Economic Growth: Evidence from Sub-Saharan Africa. UNU-WIDER, Helsinki, Finland (2014) 17 pp. [WIDER Working Paper No. 2014/017]

The Effect of Climate Change on Economic Growth: Evidence from Sub-Saharan Africa

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