Macro-economic Multimodel Intercomparison Project Workshop
Post-Conference Workshop - 30th Annual Conference of the European Association of Environmental and Resource Economists
The MYRIAD-EU Project and the Research Group Climate Extremes conducted a workshop on a macro-economic Multimodel Intercomparison Project on indirect economic impacts of extreme events (macroMIP) on 20 June 2025 at the Norwegian School of Economics - NHH in Bergen (Norway).
Climate change will intensify extreme events like droughts, floods, and heavy rainfall, leading to significant societal costs. Accurately assessing the economic impacts of these climate extremes on a global level is crucial for quantifying avoided costs from climate change impacts and evaluating the benefits of mitigation policies. These local and short-term climate extremes can have ripple effects across global supply chains, causing substantial indirect impacts that are often overlooked in climate economic modelling. Including indirect impacts in climate economic models is complicated as models differ in their depiction of cascading impacts and in the representation of recovery efforts.
Motivated by a pilot study performed as part of the MYRIAD-EU Project where indirect impacts of hazard events in the Danube region on European economies were investigated using a range of macro-economic models, this workshop drafted and initiated the protocol and agenda for a more large-scale macro-economic Model Intercomparison Project (macroMIP).
The macroMIP workshop was attended by various modelling groups, including macroeconomic modelers, IAM modelers, risk assessment experts, and impact modelers, also representing the ISIMIP community. The workshop and discussions focused on how to compare the indirect impacts of extreme events in macroeconomic models to improve the understanding of the mechanisms behind indirect impacts and to make the assumptions underlying different macroeconomic models more transparent. This improved understanding allowed for advancements in the simulation of the total economic impacts of climate extremes and provided a comprehensive framework for analyzing how local and short-term events propagated through global supply chains, offering more accurate and actionable insights for sustainable transformation.
The workshop and discussions focused on how to compare indirect impacts of extreme events in macroeconomic models to improve the understanding of the mechanisms of indirect impacts and to make the assumptions behind different macroeconomic models more transparent. This understanding will allow improvements in the assessment of climate extremes' total economic impacts and provide a comprehensive framework for understanding how local and short-term events can propagate through global supply chains or transmission channels, offering more accurate and actionable insights for sustainable transformation.
More information of workshop discussions and key outcomes is available in the Workshop Synthesis.
Keynote Speakers:
Francesco Bosello, Euro-Mediterranean Center on Climate Change (CMCC)
Elco Koks, Vrije Universiteit Amsterdam
Franziska Piontek, Potsdam Institute for Climate Impact Research
Organizers: The workshop was organized by Jana Sillmann, Elco Koks and Benjamin Blanz.
This event was organized with the support of EAERE.