Temperature and the Allocation of Time: Implications for Climate Change

by Joshua Graff Zivin and Matthew J. Neidell

- In this paper we estimate the impacts of climate change on the allocation of time using econometric models that exploit plausibly exogenous variation in daily temperature over time within counties. We find large reductions in U.S. labor supply in industries with high exposure to climate and similarly large decreases in time allocated to outdoor leisure. We also find suggestive evidence of short-run adaptation through temporal substitutions and acclimatization.

Zivin, J.G. and M.J. Neidell (2010). "Temperature and the Allocation of Time: Implications for Climate Change." NBER Working Paper No. 15717, Feb 2010.