Inequality and growth impacts from climate change – insights from South Africa
The impact of climate change on economic growth has received considerable attention in recent years. We build on this literature, but instead of per-capita GDP, we consider inequality and poverty at the country and sub-national panel level with a focus on South Africa. Our analysis on both scales suggest a significant [-shaped relationship between inequality/poverty indices and local mean temperature. Inequality, hence tends to be lowest at moderate temperatures (11°C-17°C).