Building Economic Resilience to the Health Impacts of Climate Change 2025

Page 42 of 49 · WEF_Building_Economic_Resilience_to_the_Health_Impacts_of_Climate_Change_2025.pdf

the DALYs constant for each health risk based on 2021 Institute for Health Metrics and Evaluation data. This step accounts for years of healthy life due to both premature mortality and disability. DALYs include years beyond retirement up to the WHO standard life expectancy. 2. Economic impact: The economic cost of lost output was estimated by multiplying total DALYs by the average annual value-added per sector worker. This was sourced from 2022 World Bank national accounts data, on a regional/global basis where possible, and weighted to reflect the global distribution of employment per sector. Estimates were adjusted for inflation and are presented in current 2025 US dollars.This analysis will underestimate the true impact of climate change on worker availability as it only captures lost productivity from climate-driven illness and death. Other climate-driven effects on productivity that do not constitute an “illness” (for example, lower worker efficiency due to heat stress) or wider economic ripple effects are excluded. The analysis also estimates the impact on each sector based on the share of employment, and does not take into account the additional exposure risks faced by the focus sectors discussed in the report. As the analysis is limited to the working-age population, the future workforce availability impacts from childhood morbidity or mortality are out of scope. No new projections were generated for this study. All estimates are based on existing published literature, which may carry its own methodological and regional limitations. Building Economic Resilience to the Health Impacts of Climate Change 42
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