Estimating the costs of climate change adaptation in the agricultural sector

Abstract

With the increasing recognition of the importance of adaptation in addressing climate change, an understanding of the costs and benefits of potential adaptations is necessary. To date, few detailed studies provide comprehensive economic estimates of adaptation, given the uncertainties and complexities involved. Those that consider adaptation can be loosely grouped into top-down global estimates and bottom-up estimates. The different approaches provide estimates that are useful for different purposes. In this paper, we introduce the concept of adaptation and the role it can play in reducing climate change damage, before reviewing the available literature on both approaches in the agricultural sector and highlighting the advantages and disadvantages of both. We then discuss possible reasons for the dearth of estimates and suggest ways forward.