Chapter 4 - Insights from recent economic modeling on port adaptation to climate change effects

This chapter reviews recent economic modeling work on port adaptation. We focus on summarizing the modeling approaches and the major factors considered in these studies. Specifically, we compare how the disaster uncertainty and the port market structure have been incorporated in these models in terms of their similarities and differences. The analytical findings of the studies are then reconciled and compared. There are several findings that are robust across the modeling frameworks, thus offering useful policy and managerial implications. Meanwhile, there are some distinct findings, which are driven largely by the specific model setups and assumptions. Possible explanations are provided so as to better understand such variations. Last, based on the existing modeling work, we propose several promising avenues for future modeling research.