The relationship between climate variability and economic impacts lies in the fact that changes in climate can directly affect agriculture, trade, and overall economic stability. Extreme weather events, such as floods and droughts, can disrupt food supply chains, leading to price volatility and increased poverty in vulnerable regions. Additionally, climate change can cause resource scarcity, affecting industries reliant on natural resources. Understanding these interconnections is crucial for devising adaptive strategies that enhance economic resilience and promote sustainable development in the face of climate challenges.