Climate change and within-country inequality: New evidence from a global perspective

Paglialunga, Elena; Coveri, Andrea; Zanfei, Antonello

doi:10.1016/j.worlddev.2022.106030

Cited by 56 publications

(23 citation statements)

References 118 publications

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“…On the other hand, it may be explained by a low capacity for adaptation of SSA countries which is manifested by insufficient financial resources, and the absence of sustainable solutions and planning projects devoted to dealing with climate vulnerability. These results are consistent with the findings of Cevik and Jalles (2023) and Paglialunga et al (2022).…”

Section: Baseline Regression Resultssupporting

confidence: 94%

On the transmission channels driving climate change‐income inequality nexus in sub‐Saharan African countries

Issoufou‐Ahmed,

Sebri

2024

Bus Strat Dev

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Climate change stands at the forefront of the worldwide agenda. Although its consequences are harmful to all humanity, some regions across the world remain more vulnerable than others. Sub‐Saharan Africa is one of the most suffering regions. In this paper, we investigate the climate change‐income inequality nexus in a panel of sub‐Saharan countries over the period 1990–2019. A greater emphasis is put on the potential transmission channels that drive this relationship. By using the recently developed method of moments quantile regression, we find that income inequality is exacerbated by the vulnerability to climate change. This relationship is still robust across all the quantiles with a greater effect at the highest quantile. The empirical findings reveal also the moderating role of agriculture, education, and gender through which the effect of climate change on income inequality is channeled. In light of the outcomes, the sub‐Saharan African region still needs appropriate combined mitigation and adaptation measures to efficiently combat the adverse effects of climate change.

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Section: Baseline Regression Resultssupporting

confidence: 94%

On the transmission channels driving climate change‐income inequality nexus in sub‐Saharan African countries

Issoufou‐Ahmed,

Sebri

2024

Bus Strat Dev

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“…Foreign direct investment exacerbates climate change as it draws in developing countries, developed economies that have lax environmental policies causing a snowball effect of environmental pollution (Sarkodie & Strezov, 2019; Siebert, 1977). Moreover, the diversification of outward FDI improves resilience, mitigating inequalities induced by climate change (Paglialunga et al, 2022). Migrants' remittances sent back to communities of origin can favor adaptation to climate change by supporting water supply and irrigation projects in places of origin that can help people cope with the effects of climate change (Scheffran et al, 2012).…”

Section: Methodsmentioning

confidence: 99%

“…Foreign direct investment exacerbates climate change as it draws in developing countries, developed economies that have lax environmental policies causing a snowball effect of environmental pollution (Sarkodie & Strezov, 2019;Siebert, 1977). Moreover, the diversification of outward FDI improves resilience, mitigating inequalities induced by climate change (Paglialunga et al, 2022). Unemployment is associated with climate vulnerability insofar as it reflects the difficulty of adapting to climate change undermined by rural unemployment (Tschakert, 2007).…”

Section: Analysis Modelmentioning

confidence: 99%

Sustainable urbanization and vulnerability to climate change in Africa: Accounting for digitalization and institutional quality

Yeyouomo,

Asongu

2023

Sustainable Development

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This study empirically examines the effect of sustainable urbanization on vulnerability to climate change over a sample of 52 African countries from 1996 to 2019. We use the two‐stage system generalized method of moments (GMM) empirical strategy and mediation analysis to assess direct and indirect impacts, respectively. The results of the direct analysis reveal that sustainable urbanization reduces vulnerability to climate change. The results of the indirect analysis also show that sustainable urbanization significantly reduces vulnerability to climate change through the channels of digitalization and institutional quality. The results also highlight that considering the direct effect of sustainable urbanization alone underestimates the impact of reducing vulnerability to climate change. The results are robust to an alternative indicator of vulnerability to climate and other estimation techniques. These results have important policy implications and provide evidence for the improvement of sustainable urbanization in terms of access to basic services or reduction of vulnerability to climate change.

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“…On the other side, a greater mix of value adding functions can be expected to imply a larger capacity to promptly react to external shocks. In fact, the availability of knowledge and productive capabilities, as well as the capacity to expand and coordinate the interactions between different value adding functions, provide larger opportunities to convert domestic production in case of economic shocks, like global supply chain disruptions, artificial disasters or climate-induced extreme events (Paglialunga et al, 2022 ). In other terms, a greater functional diversification of economies, namely their human, physical and institutional capability to perform a larger range of value adding activities, increases the possibilities to recombine existent competencies and is therefore likely to reduce the vulnerability to adverse, unexpected phenomena (Shih, 2020 ).…”

Section: Functional Diversification and Resiliencementioning

confidence: 99%

The virtues and limits of specialization in global value chains: analysis and policy implications

Coveri

Zanfei

2023

J. Ind. Bus. Econ.

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A growing concern has emerged in both academic research and policy circles about the hidden risks that can arise from a narrow specialization of economies in a world characterized by the international fragmentation of production. In this work, we address the virtues and limits of specialization in light of the strong interdependencies between countries induced by the emergence and evolution of global value chains (GVCs). The need to shift the focus from the product level to the functional level is discussed from both a conceptual and empirical perspective. Moreover, several arguments are advanced in favour of functional diversification. It is argued that economies performing a relatively large range of value adding activities are in a better position to foster process and product innovation and increase the resilience of the productive structure in face of both domestic and external shocks. Accordingly, we provide a stronger conceptual basis for industrial policies aimed to address the vulnerability of GVCs in times of major disruptive events. We stress that responding to these shocks implies a careful definition of the geographical boundaries of international production networks, substantial investments in strategic activities at the national and macro-regional levels, as well as a more selective sourcing of inputs and knowledge assets on a global scale.

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Climate change and within-country inequality: New evidence from a global perspective

Cited by 56 publications

References 118 publications

On the transmission channels driving climate change‐income inequality nexus in sub‐Saharan African countries

On the transmission channels driving climate change‐income inequality nexus in sub‐Saharan African countries

Sustainable urbanization and vulnerability to climate change in Africa: Accounting for digitalization and institutional quality

The virtues and limits of specialization in global value chains: analysis and policy implications

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