Monday, March 12, 2018
While the world economy stagnates, the model projects, cold countries will achieve almost unimaginable wealth. Iceland supposedly will achieve annual per capita income of $1.5 million by 2100, more than double that of any other country except Finland ($860,000). Mongolia, which currently ranks 118th in per capita income, is supposed to rise to seventh, at which point the average Mongolian will earn four times as much as the average American. Canada’s economy becomes seven times as large as China’s.
The technical term to describe this analysis is “silly.” Obviously, the relationship posited between temperature and growth has little to do with reality.