UC Berkeley

Climate change poses many new risks to people in the developing world. Unlike in standard choice under uncertainty problems, the risks from climate change are both ambiguous and non-stationary. We examine climate projections concerning what scenarios are most likely to unfold. We explore how individual farmers in the developing world are likely to respond to these challenges. This analysis points out data gaps and valuable future research paths. Urbanization offers one possible adaptation channel. We explore the opportunities and challenges posed by climate change induced accelerated Least Developed Country (LDC) urbanization.