Wealthiest 10% accountable for two-thirds of global warming: study reveals

The world's wealthiest 10% of individuals are responsible for two-thirds of global warming since 1990, according to groundbreaking research. This study, the first of its kind to quantify the impact of concentrated private wealth on extreme climate events, sheds light on how the consumption and investment behaviors of the affluent exacerbate climate risks, including deadly heat waves and droughts.

Lead author Sarah Schoengart, a scientist at ETH Zurich, emphasized the significance of linking the carbon footprints of the wealthiest individuals directly to real-world climate impacts. "It's a shift from carbon accounting toward climate accountability," she stated.

The findings reveal stark contrasts in contributions to climate extremes. For instance, the richest 1% of the global population contributed 26 times more to once-a-century heat waves and 17 times more to droughts in the Amazon compared to the global average. This extensive research, published in Nature Climate Change, highlights that emissions from the wealthiest 10% in China and the United States—countries that together account for nearly half of global carbon pollution—led to a two-to-threefold increase in heat extremes.

The study indicates that the burning of fossil fuels and deforestation has raised Earth's average surface temperature by 1.3 degrees Celsius (2.34 degrees Fahrenheit), predominantly over the last three decades. By combining economic data with climate simulations, Schoengart and her colleagues were able to trace emissions from different income groups and assess their impacts on specific types of climate-enhanced extreme weather.

The researchers also pointed out that emissions tied to financial investments play a crucial role, suggesting that climate action must address the outsized responsibilities of wealthy individuals to mitigate future harm. Senior author Carl-Friedrich Schleussner, head of the Integrated Climate Impacts Research Group at the International Institute for Applied Systems Analysis, advocated for progressive taxes on wealth and carbon-intensive investments as a means to hold owners of capital accountable for climate impacts.

While previous research indicates that taxing asset-related emissions is more equitable than broad carbon taxes—which tend to disproportionately affect lower-income individuals—efforts to increase taxes on the ultra-rich and multinational corporations have stalled in recent years. Notably, Brazil, during its tenure as host of the G-20, proposed a 2% tax on the net worth of individuals possessing over $1 billion in assets. Although G-20 leaders agreed to work cooperatively to ensure effective taxation of ultra-high-net-worth individuals, no progress has been made since.

In 2021, nearly 140 countries committed to pursuing a global corporate tax for multinational companies, endorsing a minimum rate of 15%. However, discussions on this front have also faced significant delays.

The wealth distribution is stark, with nearly a third of the world's billionaires residing in the United States, surpassing numbers from China, India, and Germany combined, according to Forbes magazine. Anti-poverty NGO Oxfam reports that the richest 1% have amassed $42 trillion in new wealth over the past decade, possessing more wealth than the combined total of the lowest 95%.

The implications of these findings are profound, urging a reevaluation of the responsibilities held by the wealthiest individuals in the ongoing fight against climate change.