Whispering into the ears of princes: a review of economic experiments in climate change adaptation

Adapting to the point where climate extreme events become harmless is often not economically viable (?). Adaptation entails a complex decision-making process that evaluates probability and stakes. However, the combination of lowprobability events with high stakes adds a dimension of behavioral bias. The research community has recognized that such biases are central to decision-making and should be a starting point for effective climate change adaptation policies. This argument is supported by numerous economic experiments, which this paper reviews in an attempts to bear some central insights from experimental economics onto climate change research, policy development and modification. The paper starts by introducing data sources and collection in research on behavioral climate chan-ge adaptation. It then methodically draws from experimental studies and consigns them to overarching experimental literature categories. These include risk and time preferences as well as cooperation and bargaining experiments. Then it epitomizes key policy implications derived from the studies.