Changes are also expected in the composition, distribution and productivity of forestry, fishery and agricultural resources. As we adapt to the realities of climate change, individual welfare will be impacted. Resource and tourism based economic activities will be directly impacted by an altered climate and, in turn, the people in the industries will also be impacted: some positively, some negatively.
Other economic costs of climate change include:
- Changes in stocks of natural resources;
- Increased healthcare costs (through the spread of disease, such as West Nile Virus);
- Increased insurance premiums (due to increasing numbers and amounts of insurance claims from extreme weather events); and
- Increased infrastructure building and maintenance costs, and increased costs for construction due to new building standards.
These monetary changes certainly have a strong effect on the economy, but there are other social and environmental impacts of climate change that are difficult to describe in monetary terms. These include, for example: stress caused by changes in employment patterns and resource bases; the unpleasant sight, smell and feel of smoggy air; and, finally, the shame of knowing we are contributing to an unpleasant future for our children.
Studies have shown that national investment in energy-efficient and clean energy technologies can reduce emissions of greenhouse gas emissions and produce energy savings that roughly equal or exceed the costs to implement them. New technologies in the building, industrial, transportation and electric utility sectors can provide a positive economic effect while addressing climate change. With present technology, actions taken to conserve energy and reduce the need for power generation and emissions helps business, municipal government and citizens save money.