From: FSC Majority Staff
Subject: Subcommittee hearing entitled, "Examining the Macroeconomic Impacts of a Changing Climate."
The Subcommittee on National Security, International Development, and Monetary Policy will hold a hearing entitled, "Examining the Macroeconomic Impacts of a Changing Climate" at
Additional Witnesses may be invited to the hearing.
"Climate change" describes the complex shift in the planet's weather and climate patterns, which encompasses events from unusual wildlife population displacement to extreme weather events and rising sea levels. Global climate change is occurring more rapidly than at any point in history, primarily because of human activities catalyzing the release of heat-trapping greenhouse gases.1 The scientific evidence regarding the underlying causes of global climate shifts is considerable.2 The varied impacts of climate change evident in every region of
For decades, the scientific community has achieved general consensus on climate change's causal factors and physical effects.4 NASA reports that 97 percent or more of actively published climate scientists agree that climate change is due to human activity.5 From rising sea levels to increased intensity of storms and from hotter and more frequent heat extremes to colder polar vortices, the changing climate is wreaking havoc all over the world. The
Domestic Economic Costs of Climate Change
When looking at the domestic impact on specific industries, the picture is similarly dire. Scholars at
As sea levels rise and temperatures continue to creep up, vital elements of the
Very few American industries will be untouched by the effects of climate change.14 Industries like real estate, energy production, agriculture, and infrastructure construction will all suffer significant financial losses if the climate continues to warm and become more volatile. These financial costs are related to the value of land and material availability due to flooding supply chain interruptions, and population dislocation.
Beyond increased government spending on relief efforts, other programs are affected by the increased frequency and potency of storms and other natural disasters. The GAO also states, "The federal government faces fiscal exposure from climate change risks in several areas, including federal insurance for property and crops due, in part, to the vulnerability of insured property and crops to climate change impacts. Federal flood and crop insurance programs were not designed to generate sufficient funds to fully cover all losses and expenses."16 Furthermore, the
The federal government has begun taking some steps to address climate change risks. In March, a researcher at the
Global and National Security Costs of Climate Change
As early as 1987-1988, the National Security Strategy of the
These warnings are being echoed by other multilateral economic forums. Seven of the top 10 risks identified in the
Since 2010, the
* Discussion Draft that directs the
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1 "Climate Science Special Report,"
5 "Scientific Consensus: Earth's Climate is Warming," NASA, https://climate.nasa.gov/scientific-consensus/.
6 "Climate Change Impacts,"
7 "Climate Change Could Force Over 140 Million to Migrate Within Countries by 2050: World Bank Report,"
9 Ryan, Devon. "
10 Davidson, Paul et al. "What will be Sandy's effect on economy?,"
11 Torry, Harriet, and
12 "Fourth National Climate Assessment, Volume II: Impacts, Risks, and Adaptation in
13 Whitacre, Ryan. "Economic Impacts of Climate Change,"
14 "Climate Change 2014: Impacts, Adaptation, and Vulnerability,"
15 "Climate Change: Opportunities to Reduce Fiscal Exposure,"
18 Rudebusch, Glenn D. "Climate Change and the
19 Derby, Michael S. "Fed Policy Makers Take Notice of Climate Change's Implications for Economic Outlook,"
20 "National Security Strategy of
22 Coats, Daniel R. "Worldwide Threat Assessment of the
23 "Climate Change Could Force Over 140 Million to Migrate Within Countries by 2050: World Bank Report,"
25 "The Global Risks Report 2019, 14th Edition,"
27 Than, Ker. "The economic damage from climate change may be more than you think," Stanford Engineering, https://engineering.stanford.edu/magazine/article/economic-damage-climate-change-may-be-more-you-think, (
28 "DOD Needs to Assess Risk and Provide Guidance on Use of Climate Projections in Installation Master Plans and Facilities Designs,"
32 "DOD Needs to Assess Risk and Provide Guidance on Use of Climate Projections in Installation Master Plans and Facilities Designs,"