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Markets ignore climate risks

Markets ignore climate risks 19 February 2020

Climate crisis could cause economic recession ‘like we’ve never seen before’, study warns (via The Independent)

By Harry Cockburn

The huge strain caused by the climate crisis could cause an economic recession “the likes of which we’ve never seen before,” a US study has warned. 

The increase in prevalence of extreme weather, bringing deadly heatwaves, more severe storms, and causing wildfires and floods, is insufficiently accounted for in financial markets, raising the possibility of a sudden correction when serious problems arise, according to new research from University of California.

“If the market doesn’t do a better job of accounting for climate, we could have a recession – the likes of which we’ve never seen before,” said Paul Griffin, an accounting professor at the UC Davis Graduate School of Management.

Read more via The Independent