Work

Extreme high temperatures and adaptation by social dynamics: Theory and evidence from China

Year: 2025

Type: article

Abstract: Using a novel city-level high-frequency panel dataset of social and public events in Chinese cities, we document that extreme high temperatures significantly reshape social dynamics. Extreme high temperatures increase social cooperation, and the effects are more pronounced when labor productivity is lower and environmental awareness is higher. Our estimates, combined with a quantitative model, indicate that humanity adapts to climate change in part by reshaping social dynamics. Adaptation offsets nearly 10% of the negative economic impacts of extreme high temperatures. Our quantitative analysis suggests that directly subsidizing cooperation is the most effective strategy for mitigating the adverse effects of extreme high temperatures.

Source: Journal of Economic Behavior & Organization

DOI: 10.1016/j.jebo.2025.106989

Authors: Jiaowei Gong, Xiangyu Shi, Chang Wang, Xin Zhang

Institutions: Harvard University, Fudan University, University of Michigan, Beijing Normal University

Language: English

Topic: Climate Change Policy and Economics

Subfield: Economics and Econometrics

Field: Economics, Econometrics and Finance

Domain: Social Sciences

SDGs: Climate action, Sustainable cities and communities

Open Access status: hybrid

Estimated APC paid: $3,180