Introduction: The current literature aims to address Global Warming as a threat to the economy as a whole. To establish the impact of Global Warming on the economy, it becomes crucial to develop a basic understanding of Global Warming. It can be defined as a situation where the sea levels rise as a consequence of constant rise in the earth’s temperature due to uninterrupted increase in the emission of greenhouse gases such as carbon dioxide, nitrous oxide and methane. Subsequently, a chain reaction occurs which endangers the life of almost all the animals, plants and human beings on the earth. Therefore if unattended, Global Warming has the potential to devastate the national resources and affect the pricing and supply chains of essential elements while the extreme weather conditions caused by Global Warming pose a ravaging risk for human existence.
Economic Reasoning: To study the impact of Global Warming on the economy, the best suited model that can be applied is the Hierarchy of Needs model proposed by Maslow. As Maslow had put it, through his model of Hierarchy of Needs, as and when a want is satisfied it loses its strength to further motivate a person. Hence Maslow designed this Hierarchy of Needs model so as to position the different needs of people in a hierarchy such that the least important needs are first satisfied. Thus making way for the next stronger need to be satisfied which simultaneously pumps the motivation levels of the person in question. This model advocated by Maslow has the capability to keep the motivation levels of human beings intact throughout.
Literature Review: The literature to be reviewed for the construction of this paper includes sources such as books, and articles from online scholarly journals. While the books help the basic understanding and application of the psychological model that is being considered for this study, the articles from the online journals help establish the correlation between the global warming and the economy.
1. Maslow, H. A. (1987). Motivation and personality. New York: Harper and Rowe.
2. Tol, Richard S. J. (2009). The Economic Effects of Climate Change. Journal of Economic Perspective, 23(2), 29-51.
3. McClelland, D. C. (1987). Human motivation. Cambridge: Cambridge University Press.
4. Miriam Kennet, Naomi Baster, Michele Gale, Oliver Tickell. (2009). Climate change: economics or science? International Journal of Green Economics, 3, 235-364.