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Extreme Heat to Curb Construction, Hit US Economy: San Francisco Fed Survey .
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#ExtremeHeat Threatens #Construction, #USEconomy Decline Key Takeaways:
- Extreme heat could reduce US capital stock by 5.4% by 2200.
- Construction sector's output vital, highly vulnerable to heat stress.
- Adaptation strategies are crucial for mitigating productivity losses.
Further Insights
Economic Impact: The study from the Federal Reserve Bank of San Francisco highlights the potential economic consequences of increased extreme heat, projecting a significant reduction in the US capital stock and annual consumption by the year 2200.
Sector Analysis: Construction, as the largest sector of outdoor work, faces the biggest productivity losses due to rising days of extreme heat, threatening overall US economic output and highlighting the sector's critical role in the economy's vulnerability to climate change.
Future Projections: Projections indicate a drastic increase in days exceeding safety thresholds for outdoor heavy work, from 22 days in 2020 to about 80 by 2100, underscoring the pressing need for strategies to reduce heat exposure for outdoor workers.
Closing Thoughts: As the specter of extreme heat looms large, how can industries, especially construction, innovate to shield the economy from its scorching impact while prioritizing workers' health and productivity?