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Discontinuity, Nonlinearity, and Complexity

Dimitry Volchenkov (editor), Dumitru Baleanu (editor)

Dimitry Volchenkov(editor)

Mathematics & Statistics, Texas Tech University, 1108 Memorial Circle, Lubbock, TX 79409, USA

Email: dr.volchenkov@gmail.com

Dumitru Baleanu (editor)

Cankaya University, Ankara, Turkey; Institute of Space Sciences, Magurele-Bucharest, Romania

Email: dumitru.baleanu@gmail.com


Impact of Nonlinearity of Climate Damage Functions on Long-term Macroeconomic Projections under Conditions of Global Warming

Discontinuity, Nonlinearity, and Complexity 4(1) (2016) 25--33 | DOI:10.5890/DNC.2016.03.003

Dmitry V. Kovalevsky$^{1}$,$^{2}$,$^{3}$, Svetlana I. Kuzmina$^{1}$, Leonid P. Bobylev$^{1}$,$^{3}$

$^{1}$ Nansen International Environmental and Remote Sensing Centre, 14th Line 7, office 49, Vasilievsky Island, 199034 St. Petersburg, Russia

$^{2}$ Saint Petersburg State University, Ulyanovskaya 3, 198504 St. Perersburg, Russia

$^{3}$ Nansen Environmental and Remote Sensing Center, Thormøhlens gate 47, N-5006 Bergen, Norway

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Abstract

A weakly nonlinear climate damage function used by Nordhaus in his DICE model and a strongly nonlinear climate damage function recently proposed by Weitzman are incorporated in the Kellie-Smith—Cox Integrated Assessment model of coupled climate—conomic dynamics, the initial version of which contained only linear climate damages. Long-term projections of the dynamics of coupled climate—economic system are computed with the modified versions of the model. Simulation results for Weitzman function demonstrate pronounced nonlinear emergent dynamics and suggest extremely dramatic long-term economic scenarios for high values of background economic growth rates.

Acknowledgments

This study was supported by the Russian Foundation for Basic Research (Project No. 13-06-00368).

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