Adaptive Learning in Spatial Agent-Based Models for Climate Risk Assessment: A Geospatial Framework with Evolutionary Economic Agents

Climate risk assessment requires modelling complex interactions between spatially heterogeneous hazards and adaptive economic systems. We present a novel geospatial agent-based model that integrates climate hazard data with evolutionary learning for economic agents. Our framework combines Mesa-based spatial modelling with CLIMADA climate impact assessment, introducing adaptive learning behaviours that allow firms to evolve strategies for budget allocation, pricing, wages, and risk adaptation through fitness-based selection and mutation. We demonstrate the framework using riverine flood projections under RCP8.5 until 2100, showing that evolutionary adaptation enables firms to converge with baseline (no hazard) production levels after decades of disruption due to climate stress. Our results reveal systemic risks where even unexposed agents face impacts through supply chain disruptions, with end-of-century inflation 5.6% higher than the baseline scenario. This open-source framework provides financial institutions and companies with tools to quantify both direct and cascading climate risks while evaluating cost-effective adaptation strategies.