Effects of climate change on the economy

Illustration showing the impact of climate change on the economy
  • Farming: Many of the traditional patterns of farming will change. Grain harvests might improve due to higher temperatures, however in other areas drought could bring disaster.
  • Flooding: Increases in amounts of rainfall will lead to increased river and coastal flooding. This can bring huge amounts of damage to property and houses which can cost a lot to fix.
  • Travel and Tourism: Different countries have started to increase the amount of tax payable on air travel. As air travel is one of the heaviest polluters of the atmosphere, different measures are being taken to invest in cleaner aircraft and technologies. Travel will become increasingly expensive.
  • Green economy: Pressure from global and environmental organisations has meant that many countries have had to come up with strategies designed to help tackle climate issues. A transition from carbon-burning vehicles and home heating systems means that people have to invest in new ‘green’ technologies e.g wind power.