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This study analyzes the observed monthly deseasonalized and detrended variability of the tropical radiation budget and suggests that variations of the lower‐tropospheric stability and of the spatial organization of deep convection both strongly contribute to this variability. Satellite observations show that on average over the tropical belt, when deep convection is more aggregated, the free troposphere is drier, the deep convective cloud coverage is less extensive, and the emission of heat to space is increased; an enhanced aggregation of deep convection is thus associated with a radiative cooling of the tropics. An increase of the tropical‐mean lower‐tropospheric stability is also coincident with a radiative cooling of the tropics, primarily because it is associated with more marine low clouds and an enhanced reflection of solar radiation, although the free‐tropospheric drying also contributes to the cooling. The contributions of convective aggregation and lower‐tropospheric stability to the modulation of the radiation budget are complementary, largely independent of each other, and equally strong. Together, they account for more than sixty percent of the variance of the tropical radiation budget. Satellite observations are thus consistent with the suggestion from modeling studies that the spatial organization of deep convection substantially influences the radiative balance of the Earth. This emphasizes the importance of understanding the factors that control convective organization and lower‐tropospheric stability variations, and the need to monitor their changes as the climate warms.

To paraphrase former Speaker of the House Tip O'Neill, “All climate change is local”—that is, society reacts most immediately to changes in local weather such as regional heat waves and heavy rainstorms. Such phenomena are not well resolved by the current generation of coupled climate models. Here it is shown that dynamical downscaling of climate reanalyses using a high‐resolution regional model can reproduce both the means and extremes of temperature and precipitation as observed in the well‐measured northeastern United States. Given this result, the downscaling is applied to climate projections for the middle and end of the 21st century under Representative Concentration Pathway (RCP) 8.5 as well as for the historical time period to help assess regional climate impacts in the northeastern United States. The resulting high‐resolution projections are intended to support regional sustainability studies for the northeastern United States and are made publicly available.