An increase in the average temperature of the Earth’s near-surface air and oceans. Economic sosts associated with climate change, as summarized by the United Nations Environment Programme, are related to the risks to farmers and consumers (many of whom are not insured), as well as insurers, reinsurers, and banks, of increasingly traumatic and costly weather events; among economic sectors that are likely to suffer are agriculture and transport. Less developed countries might be at a greater economic risk than the developed countries. There seems to be strong evidence that this phenomenon climate variation. Presently, there is ongoing political and public debate worldwide regarding what, if any, action should be taken to reduce or reverse future wanning or to adapt to its expected consequences. Most national governments have signed and ratified the Kyoto Protocol of 1997, aimed at reducing emissions of ’greenhouse gases. See also adaptation; hockey stick; mitigation.
Reference: Oxford Press Dictonary of Economics, 5th edt.
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