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GERMANY – A new study warns that climate change will slash global income by 19% over the next 25 years, hitting poorest regions hardest. Researchers at Germany’s Potsdam Institute for climate impact research project a staggering $38 trillion annual cost by 2049, doubling by 2100.

Even developed nations like Germany and the U.S. face significant income reductions.

Climate scientist Max Kotz explains that while income will still grow in most places, it will be 19% less than it could have been without climate change.

Kotz emphasizes that temperature increases, not extreme weather events, are the primary drivers of economic damage.