Eseje o environmentální a zdravotní ekonomice

Kyrychenko, Olexiy

Essays on Environmental and Health Economics Olexiy Kyrychenko Abstract In the first chapter, we examine the impact of temperature on manufacturing production in India and the underlying mechanisms. Using plant-level manufacturing data and satellite- based temperature estimates from 1998-2007, we find that the relationship between temperature and output exhibits an inverted U-shape, with especially large losses occurring at extreme cold and hot temperatures. Such nonlinearity provides valuable insight into the potential welfare consequences of climate change. Back-of-the-envelope calculations suggest that a 1řC shift in the annual distribution of daily temperature would lead to net losses in manufacturing output of 1.3% or USD 0.6 billion, equivalent to a 0.5% reduction in India's GDP 2007 through the manufacturing sector alone. The estimated temperature-output relationship is driven by the joint effects of temperature on total factor productivity and capital. This finding has important implications for adaptation. The manufacturing sector can adapt to changing climate by reducing the sensitivity of labor productivity to temperature and by making investments in machinery. Labor-related adjustments can also contribute to adaptation by offsetting direct productivity losses or facilitating labor reallocation....

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