Essays on climate econometrics
This paper proposes a nonlinear cointegrating regression model based on the well-known energy balance climate model. Speci cally, I investigate the nonlinear cointegrating regression of mean of temperature anomaly distributions on total radiative forcing using estimated spatial distributions of temperature anomalies for Globe/Northern Hemisphere/Southern Hemisphere. Further, I provide two types of nonlinear response functions that map from the total radiative forcing level to mean temperature anomalies. Cointegration and speci cation tests are also provided that support the existence of nonlinear effects of total radiative forcing.