Climate Amenities, Climate Change, and American Quality of Life

David Albouy, Walter Graf, Ryan Kellogg, Hendrik Wolff

Research output: Contribution to journalArticlepeer-review


We present a hedonic framework to estimate US households’ preferences over local climates, using detailed weather and 2000 Census data. We find that Americans favor a daily average temperature of 65 degrees Fahrenheit, that they will pay more on the margin to avoid excess heat than cold, and that damages increase less than linearly over extreme cold. These preferences vary by location due to sorting or adaptation. Changes in climate amenities under business-as-usual predictions imply annual welfare losses of 1%–4% of income by 2100, holding technology and preferences constant.

Original languageEnglish (US)
Pages (from-to)205-246
Number of pages42
JournalJournal of the Association of Environmental and Resource Economists
Issue number1
StatePublished - Mar 1 2016


  • Amenity valuation
  • Climate change
  • Hedonic model
  • Household sorting
  • Impact assessment
  • Quality of life

ASJC Scopus subject areas

  • Economics and Econometrics
  • Nature and Landscape Conservation
  • Management, Monitoring, Policy and Law


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