Rising temperatures a threat to our behaviour and safety

Rising temperatures a threat to our behaviour and safety

With average temperatures rising rapidly, some places might soon be too hot for inhabitants to make optimal economic decisions.

Two research projects from Monash Business School’s Centre for Health Economics have revealed the far-reaching impacts of hot temperatures on everything from behaviour to workplace health and safety.

Heat increases the likelihood of irrational behaviour, attitudes towards risk, and decision-making capabilities, according to research by PhD candidate Michelle Escobar Carias from the Centre of Health Economics, together with Professor David Johnston, Dr Rohan Sweeney and Dr Rachel Knott.

The researchers have discovered that night-time temperatures above 22°C can lead to a significant increase in the probability of irrational behaviour and impatience.

“These economic preferences are fundamental for investment decisions, such as our propensity to save, open new businesses, and invest,” Ms Escobar says.

Another research project from the Centre for Health Economics using data from WorkSafe Victoria shows that high outdoor temperatures increase workplace injuries and accidents.

Manual workers – particularly those in outdoor industries – are most at risk. Research PhD candidate Andrew Ireland with Professor Johnston and Dr Knott found workers risk dehydration and heat stroke, but also a wide range of accidents due to attention lapses and environmental hazards.

Using over two million workplace injury claims submitted to Victoria’s mandatory workers’ compensation scheme from 1985 to 2020, the researchers found that higher temperatures generate significantly more claims.

As temperatures rise, industry and policy makers will be grappling with these sorts of issues in the near future.