Climate Change and Finance Writing Assignment

Climate Change and Finance
Student’s Name
Institutional Affiliation
Climate Change and Finance
The issue of climate change has been controversial for most people. Large companies making huge profits while impacting the climate negatively have been quick to deny the fact that climate change is a matter of pressing concern. Over the last decade, the impacts of climate change have been great and several areas of the economy have been impacted. In this paper, I am going to look at the relationship between climate change and finance.
In a study conducted by Stanford University (2018), it was established that if countries were to stick to the Paris Climate Accord, global GDP would fall by 15% in 2100 (Amadeo, 2019). However, if the temperatures were to rise to three degrees, the global GDP would fall by 25% (Amadeo, 2019). On the other hand, if we just sit around and do nothing, the fall would be by 30% (Amadeo, 2019). This is a pressing concern because the impacts are permanent.
Climate change has impacted several economic activities which have led to a fall in finances. For example, due to extreme hot days because of climate change, food prices have risen. In the U.S, a reduction in the soybean and corn yields has led to spikes in the prices of milk, beef, and other poultry products (Amadeo, 2019). This has increased the amounts of money spent on poultry products, limiting the ability to save more finances. Due to global warming, fish yields has declined. This has affected the value of the fishing industry especially in Japan and other parts of North Atlantic. The fishing industry employs a lot...