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Industrial Productivity.pdf

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Preview of Industrial Productivity
🔗 Source: gps.ucsd.edu
📊 Size: 734 KB
👤 Author: matt
⬇️ Downloads: 287

Summary

Climate change is expected to reduce labor productivity, but air conditioning can mitigate this effect. A model of air conditioning adoption by heterogeneous firms suggests that high-productivity firms are more likely to adopt air conditioning, as they suffer larger productivity losses when it is hot. As a result, the macroeconomic effects of climate change will be smaller than predicted, since firms at the higher end of the productivity distribution account for a disproportionate share of industry-level output and are more likely to insulate themselves from ambient temperatures. Empirical analysis of the impacts of heat on total factor productivity in U.S. manufacturing supports the model's predictions.

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Description

Climate change is expected to reduce labor productivity, but air conditioning can mitigate this effect.

Technical Information

  • File Format: PDF
  • File Size: 734 KB
  • Pages: 30
  • Language: EN
  • Author: matt
  • Total Downloads: 287
  • Last Updated: 22 hours ago

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