There are the deadly as well as the destructive storms that are now a regular annual occurrence, and has recently caused tremendous financial loss. Hurricane Katrina for one, has cost over $81 billion dollars in damage, and the actual rebuilding is not yet finished. Storms such as Katrina have been boosted to their extreme deadly levels by the force by warm ocean waters. This is one example of global warming.
Agriculture, farming, fisheries and livestock can also be spoiled by global warming. Vegetation crops cannot survive during the droughts brought on by the extreme warming temperatures. The storms that are intensified by the warming has also caused severe damage to agricultural buildings, and has injured farm animals and wildlife. The resulting floods from these storms and overall warming originate, has been drowning out crops before they can be harvested.
What all this translates to is of course extensive lost revenues for both the farmers, investors and financial markets. The end result is higher prices to the consumers who buy these agricultural products. You and I already know what it is like to pay outrageous, exorbitant prices for basic foods that have been damaged while still in the fields. Global warming, if it continues on its present path, will become a common everyday occurrence.
The higher gas and petroleum prices have a direct effect on the economics of local communities. When the gas prices rise as it did during the summer of 2008, people will then patronize local business establishments that are closer to their homes. This directly affects the economic success of remote businesses not in a heavily populated areas. Global warming affects the well being of businesses in this way.
The economics of your neighborhood and household as a result of global warming are undeniable as well. As the climate grows warmer, more energy is required to cool houses and businesses. Just a few extra degrees of heat in the atmosphere means that the households will have to set their thermostats higher, thus paying a higher price and taxing the energy system.
Unfortunately, it is the lower income families that are hit the hardest as a result of global warming. As an example, newer cars are now outfitted with a revolutionized system of air conditioning that uses environmentally friendly Freon gas. Older cars that are not equipped with this system have to pay a higher price for maintenance. If the older cars air conditioner needs Freon gas, they may have to pay several hundred dollars to upgrade to the newer system that uses the new Freon system.
In many areas and regions of North America and the world, everyone pays for the energy mistakes made in the past. The ancient coal burning power plants that still exist are now being refitted with new methods to reduce emissions. This is one way that will have a big impact on preventing further global warming. Yet, the economics of it is that its the consumers who will ultimately have to pay with higher utility bills.
There are thousands of ways that the current global warming crisis is affecting the world’s economic crisis. Consumers as always the ones that end up paying for the adjustments and improvements to their homes, their cars, and the upgrading of city infrastructures to reduce and adjust to global warming. With time, hopefully these changes will eventually be completed.