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Nelson, G. C., Valin, H., Sands, R. D., Havlík, P., Ahammad, H., Deryng, D., et al. (2014). Climate change effects on agriculture: economic responses to biophysical shocks. Proc. Natl. Acad. Sci. U. S. A., 111(9), 3274–3279.
Abstract: Agricultural production is sensitive to weather and thus directly affected by climate change. Plausible estimates of these climate change impacts require combined use of climate, crop, and economic models. Results from previous studies vary substantially due to differences in models, scenarios, and data. This paper is part of a collective effort to systematically integrate these three types of models. We focus on the economic component of the assessment, investigating how nine global economic models of agriculture represent endogenous responses to seven standardized climate change scenarios produced by two climate and five crop models. These responses include adjustments in yields, area, consumption, and international trade. We apply biophysical shocks derived from the Intergovernmental Panel on Climate Change’s representative concentration pathway with end-of-century radiative forcing of 8.5 W/m(2). The mean biophysical yield effect with no incremental CO2 fertilization is a 17% reduction globally by 2050 relative to a scenario with unchanging climate. Endogenous economic responses reduce yield loss to 11%, increase area of major crops by 11%, and reduce consumption by 3%. Agricultural production, cropland area, trade, and prices show the greatest degree of variability in response to climate change, and consumption the lowest. The sources of these differences include model structure and specification; in particular, model assumptions about ease of land use conversion, intensification, and trade. This study identifies where models disagree on the relative responses to climate shocks and highlights research activities needed to improve the representation of agricultural adaptation responses to climate change.
Keywords: Agriculture/*economics; Carbon Dioxide/analysis; *Climate Change; Commerce/statistics & numerical data; Computer Simulation; Crops, Agricultural/*growth & development; Forecasting; Humans; *Models, Economic; agricultural productivity; climate change adaptation; integrated assessment; model intercomparison
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Piontek, F., Müller, C., Pugh, T. A., Clark, D. B., Deryng, D., Elliott, J., et al. (2014). Multisectoral climate impact hotspots in a warming world. Proc. Natl. Acad. Sci. U. S. A., 111(9), 3233–3238.
Abstract: The impacts of global climate change on different aspects of humanity’s diverse life-support systems are complex and often difficult to predict. To facilitate policy decisions on mitigation and adaptation strategies, it is necessary to understand, quantify, and synthesize these climate-change impacts, taking into account their uncertainties. Crucial to these decisions is an understanding of how impacts in different sectors overlap, as overlapping impacts increase exposure, lead to interactions of impacts, and are likely to raise adaptation pressure. As a first step we develop herein a framework to study coinciding impacts and identify regional exposure hotspots. This framework can then be used as a starting point for regional case studies on vulnerability and multifaceted adaptation strategies. We consider impacts related to water, agriculture, ecosystems, and malaria at different levels of global warming. Multisectoral overlap starts to be seen robustly at a mean global warming of 3 °C above the 1980-2010 mean, with 11% of the world population subject to severe impacts in at least two of the four impact sectors at 4 °C. Despite these general conclusions, we find that uncertainty arising from the impact models is considerable, and larger than that from the climate models. In a low probability-high impact worst-case assessment, almost the whole inhabited world is at risk for multisectoral pressures. Hence, there is a pressing need for an increased research effort to develop a more comprehensive understanding of impacts, as well as for the development of policy measures under existing uncertainty.
Keywords: Agriculture/statistics & numerical data; Computer Simulation; Conservation of Natural Resources/*methods; Ecosystem; *Environment; Geography; Global Warming/economics/*statistics & numerical data; Humans; Malaria/epidemiology; *Models, Theoretical; *Public Policy; Temperature; Water Supply/statistics & numerical data; Isi-mip; coinciding pressures; differential climate impacts
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Ponti, L., Gutierrez, A. P., Ruti, P. M., & Dell’Aquila, A. (2014). Fine-scale ecological and economic assessment of climate change on olive in the Mediterranean Basin reveals winners and losers. Proc. Natl. Acad. Sci. U. S. A., 111(15), 5598–5603.
Abstract: The Mediterranean Basin is a climate and biodiversity hot spot, and climate change threatens agro-ecosystems such as olive, an ancient drought-tolerant crop of considerable ecological and socioeconomic importance. Climate change will impact the interactions of olive and the obligate olive fruit fly (Bactrocera oleae), and alter the economics of olive culture across the Basin. We estimate the effects of climate change on the dynamics and interaction of olive and the fly using physiologically based demographic models in a geographic information system context as driven by daily climate change scenario weather. A regional climate model that includes fine-scale representation of the effects of topography and the influence of the Mediterranean Sea on regional climate was used to scale the global climate data. The system model for olive/olive fly was used as the production function in our economic analysis, replacing the commonly used production-damage control function. Climate warming will affect olive yield and fly infestation levels across the Basin, resulting in economic winners and losers at the local and regional scales. At the local scale, profitability of small olive farms in many marginal areas of Europe and elsewhere in the Basin will decrease, leading to increased abandonment. These marginal farms are critical to conserving soil, maintaining biodiversity, and reducing fire risk in these areas. Our fine-scale bioeconomic approach provides a realistic prototype for assessing climate change impacts in other Mediterranean agro-ecosystems facing extant and new invasive pests.
Keywords: Animals; *Biodiversity; *Climate Change; Conservation of Natural Resources/*trends; Crops, Agricultural/*economics/physiology; Geography; Host-Parasite Interactions; Mediterranean Region; Models, Biological; Models, Economic; Olea/*parasitology/*physiology; Tephritidae/*physiology; Olea europaea; desertification; ecological impacts; economic impacts; species interactions
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Klein, D., Luderer, G., Kriegler, E., Strefler, J., Bauer, N., Leimbach, M., et al. (2014). The value of bioenergy in low stabilization scenarios: an assessment using REMIND-MAgPIE. Clim. Change, 123(3-4), 705–718.
Abstract: This study investigates the use of bioenergy for achieving stringent climate stabilization targets and it analyzes the economic drivers behind the choice of bioenergy technologies. We apply the integrated assessment framework REMIND-MAgPIE to show that bioenergy, particularly if combined with carbon capture and storage (CCS) is a crucial mitigation option with high deployment levels and high technology value. If CCS is available, bioenergy is exclusively used with CCS. We find that the ability of bioenergy to provide negative emissions gives rise to a strong nexus between biomass prices and carbon prices. Ambitious climate policy could result in bioenergy prices of 70 $/GJ (or even 430 $/GJ if bioenergy potential is limited to 100 EJ/year), which indicates a strong demand for bioenergy. For low stabilization scenarios with BECCS availability, we find that the carbon value of biomass tends to exceed its pure energy value. Therefore, the driving factor behind investments into bioenergy conversion capacities for electricity and hydrogen production are the revenues generated from negative emissions, rather than from energy production. However, in REMIND modern bioenergy is predominantly used to produce low-carbon fuels, since the transport sector has significantly fewer low-carbon alternatives to biofuels than the power sector. Since negative emissions increase the amount of permissible emissions from fossil fuels, given a climate target, bioenergy acts as a complement to fossils rather than a substitute. This makes the short-term and long-term deployment of fossil fuels dependent on the long-term availability of BECCS.
Keywords: land-use change; bio-energy; greenhouse gases; carbon-dioxide; climate-change; constraints; emissions; economics; storage; costs
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Dietrich, J. P., Schmitz, C., Lotze-Campen, H., Popp, A., & Müller, C. (2014). Forecasting technological change in agriculture—An endogenous implementation in a global land use model. Technological Forecasting and Social Change, 81, 236–249.
Abstract: ► Endogenous technological change in an economic land use model ► Estimation of yield elasticity with respect to investments in technological change ► Projections of future agricultural productivity rates ► Validation with observed data and historic trends ► Trade-off between required technological change and forest protection objectives Technological change in agriculture plays a decisive role for meeting future demands for agricultural goods. However, up to now, agricultural sector models and models on land use change have used technological change as an exogenous input due to various information and data deficiencies. This paper provides a first attempt towards an endogenous implementation based on a measure of agricultural land use intensity. We relate this measure to empirical data on investments in technological change. Our estimated yield elasticity with respect to research investments is 0.29 and production costs per area increase linearly with an increasing yield level. Implemented in the global land use model MAgPIE (“Model of Agricultural Production and its Impact on the Environment”) this approach provides estimates of future yield growth. Highest future yield increases are required in Sub-Saharan Africa, the Middle East and South Asia. Our validation with FAO data for the period 1995–2005 indicates that the model behavior is in line with observations. By comparing two scenarios on forest conservation we show that protecting sensitive forest areas in the future is possible but requires substantial investments into technological change.
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