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Posted Wednesday, July 08, 2009 5:00 PM

Nate Silver on How to Destroy 5% of Global GDP (and Half the World)

Katie Paul
Credit: Nate Silver, fivethirtyeight.com

Today in graphics that should make your palms sweat: Nate Silver, the 538.com numbers nerd who brought the world minute-by-minute election coverage, is now delivering a detailed vision of global climate-induced dystopia.

The back story: The American Scene is home to an ongoing debate over the costs and benefits of Waxman-Markey, the climate change bill that recently passed in the House and is now headed for the Senate. In arguing against it, commentator Jim Manzi points to the Intergovernmental Panel on Climate Change estimate that warming would decrease global GDP by 5 percent, saying that's pretty marginal compared to the economic impact of the proposed legislation. But a good portion of the world's countries register mere blips on counts of total global GDP, even though they account for much of its population. How much, exactly? Into the fray jumps Mr. Silver and his map:

Let's see how much of the world we can destroy before getting to 5% of global GDP. The figures I'll use are IMF estimates of 2008 GDP, for all countries bit Zimbabwe where the IMF did not publish a 2008 estimate and I use 2007 instead.

Zimbabwe, indeed, is the first country on the chopping block, whose 11.7 million greedy bastards consume a whole 0.0196 percent of the world's output -- a global low of just $55 per person. After that, we get to destroy Burundi, The Congo (the larger of the two Congos -- the one that used to be called Zaire), Liberia, Guinea-Bissau, Eretrea, Malawai ... do you really me to go through the whole list? You do? ... Malwai, Ethopia, Sierra Leone, Niger, Afghanistan (big problem solved there), Togo, Guinea, Uganda, Madagascar, the Central African Republic, Nepal, Myanmar, Rwanda, Mozambique, Timor-Leste, the Gambia -- we've only used 0.27 percent of GDP to this point, by the way -- Bangladesh (which has 162 million people), Tanzania, Burkina Faso, Mali, Lesotho, Ghana, Haiti, Tajikistan, Comoros, Cambodia, Laos, Benin, Kenya, Chad, The Soloman Islands and Kyrgyzistan. Next up is India, which, while growing, still consumes only 2 percent of world GDP. Then Nicaragua, Uzbekistan, Vietnam, Mauritania, Pakistan (another problem solved), Senegal, São Tomé and Príncipe, Côte d'Ivoire, Zambia, Yemen, Cameroon, Djibouti, Papua New Guinea, Kiribati, Nigeria (another pretty big country -- we've now got only about 1.4 points of GDP left), Guyana, the Sudan, Bolivia (our first foray into South America), Moldova, Honduras, the Philippines, Sra Lanka, Mongolia, Bhutan and Egypt.

At this point, we've used up 4.4 points of GDP. Indonesia is next on the list of lowest per-capita GDPs. But unfortunately we can't quite fit them into the budget so we'll spare them, opting instead for Vanauatu, Tonga, Paragua, Morocco, Syria, Swaziland, Samoa, Guatemala, Georgia (the country -- not the place where they have Chik-Fil-A), the otherCongo, and Iraq. Skipping China, we then get to Armenia, Jordan, Cape Verde, the Maldives -- and another big bunch of skips follows here since we're very low on budget -- Fiji and finally Namibia. Collectively, these countries consume 4.99997 percent of the world's GDP. There's absolutely no budget left for anyone else -- not even St. Vincent and the Grenadines, which would be a great band name, BTW.

So, we'll have to settle for just these 81 countries, which collectively have a mere 2,865,623,000 people, or about 43 percent of the world's population.

I'm not sure how or why Somalia survives the cut, but that's just quibbling. The point is clear, and it's pretty devastating: a 5 percent swing in global GDP may not seem like much, but GDP might not be the best metric to use when wiping half the planet off the map would barely affect it. But then add in how unpredictable economic shifts are and how many non-economic benefits would come along with the legislation, and an argument over the impact of a 5 percent difference in GDP becomes kind of ridiculous. And that's ultimately the takeaway: even the best GDP modeling won't get past the tip of the iceberg on this one.

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Member Comments

Posted By: Hermotimus (July 9, 2009 at 10:28 AM)

this bit of reckoning leaves out the fact that the decreases in GDP due to reducing climate change would not come from the nations with the smallest carbon footprint. It would come from the nations with the largest carbon footprint, such as North America, all of Europe, Japan, China, Brazil, Russia and a few other countries who either have high carbon footprints now or who are rapidly increasing their carbon footprints. The countries with small carbon footprints will not be directly affected by changes made to curb global warming because they are not part of the problem of global warming and with new international laws eventually pout into place, as they do develop into modern states, their carbon footprints will not grow because they will have the benefit of all the technology the developed nations are working on creating to curb greenhouse gas emmissions and global warming.


Posted By: eskildsonloyd (July 8, 2009 at 6:37 PM)

Incoherent ranting - what's wrong with Newsweek?