Climate change, income sources, crop mix, and input use decisions: Evidence from Nigeria

This paper combines panel data from nationally representative household-level surveys in Nigeria with long-term satellite-based spatial data on temperature and precipitation using geo-referenced information related to households. It aims to quantify the impacts of climate change on agricultural prod...

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Autores principales: Amare, Mulubrhan, Balana, Bedru
Formato: Artículo preliminar
Lenguaje:Inglés
Publicado: International Food Policy Research Institute 2023
Materias:
Acceso en línea:https://hdl.handle.net/10568/130562
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author Amare, Mulubrhan
Balana, Bedru
author_browse Amare, Mulubrhan
Balana, Bedru
author_facet Amare, Mulubrhan
Balana, Bedru
author_sort Amare, Mulubrhan
collection Repository of Agricultural Research Outputs (CGSpace)
description This paper combines panel data from nationally representative household-level surveys in Nigeria with long-term satellite-based spatial data on temperature and precipitation using geo-referenced information related to households. It aims to quantify the impacts of climate change on agricultural productivity, income shares, crop mix, and input use decisions. We measure climate change in harmful degree days, growing degree days, and changes in precipitation using long-term (30 year) changes in temperature and precipitation anomalies during the crop calendars. We find that, controlling for other factors, a 15 percent (one standard deviation) increase in change in harmful degree days leads to a decrease in agricultural productivity of 5.22 percent on average. Similarly, precipitation change has resulted in a significant and negative impact on agricultural productivity. Our results further show that the change in harmful degree days decreases the income share from crops and nonfarm self-employment, while it increases the income share from livestock and wage employment. Examining possible transmission channels for this effect, we find that farmers change their crop mix and input use to respond to climate changes, for instance reducing fertilizer use and seed purchases as a response to increases in extreme heat. Based on our findings, we suggest policy interventions that incentivize adoption of climate-resilient agriculture, such as small-scale irrigation and livelihood diversification. We also propose targeted pro-poor interventions, such as low-cost financing options for improving smallholders’ access to climate-proof agricultural inputs and technologies, and policy measures to reduce the inequality of access to livelihood capital such as land and other productive assets.
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spelling CGSpace1305622025-12-02T21:03:03Z Climate change, income sources, crop mix, and input use decisions: Evidence from Nigeria Amare, Mulubrhan Balana, Bedru household surveys data spatial data temperature precipitation climate change agricultural productivity income crops inputs nonfarm income livestock policies irrigation diversification finance This paper combines panel data from nationally representative household-level surveys in Nigeria with long-term satellite-based spatial data on temperature and precipitation using geo-referenced information related to households. It aims to quantify the impacts of climate change on agricultural productivity, income shares, crop mix, and input use decisions. We measure climate change in harmful degree days, growing degree days, and changes in precipitation using long-term (30 year) changes in temperature and precipitation anomalies during the crop calendars. We find that, controlling for other factors, a 15 percent (one standard deviation) increase in change in harmful degree days leads to a decrease in agricultural productivity of 5.22 percent on average. Similarly, precipitation change has resulted in a significant and negative impact on agricultural productivity. Our results further show that the change in harmful degree days decreases the income share from crops and nonfarm self-employment, while it increases the income share from livestock and wage employment. Examining possible transmission channels for this effect, we find that farmers change their crop mix and input use to respond to climate changes, for instance reducing fertilizer use and seed purchases as a response to increases in extreme heat. Based on our findings, we suggest policy interventions that incentivize adoption of climate-resilient agriculture, such as small-scale irrigation and livelihood diversification. We also propose targeted pro-poor interventions, such as low-cost financing options for improving smallholders’ access to climate-proof agricultural inputs and technologies, and policy measures to reduce the inequality of access to livelihood capital such as land and other productive assets. 2023-05-30 2023-05-31T20:10:29Z 2023-05-31T20:10:29Z Working Paper https://hdl.handle.net/10568/130562 en https://doi.org/10.1016/j.ecolecon.2023.107892 Open Access application/pdf International Food Policy Research Institute Amare, Mulubrhan; and Balana, Bedru. 2023. Climate change, income sources, crop mix, and input use decisions: Evidence from Nigeria. IFPRI Discussion Paper 2185. Washington, DC: International Food Policy Research Institute (IFPRI). https://doi.org/10.2499/p15738coll2.136717.
spellingShingle household surveys
data
spatial data
temperature
precipitation
climate change
agricultural productivity
income
crops
inputs
nonfarm income
livestock
policies
irrigation
diversification
finance
Amare, Mulubrhan
Balana, Bedru
Climate change, income sources, crop mix, and input use decisions: Evidence from Nigeria
title Climate change, income sources, crop mix, and input use decisions: Evidence from Nigeria
title_full Climate change, income sources, crop mix, and input use decisions: Evidence from Nigeria
title_fullStr Climate change, income sources, crop mix, and input use decisions: Evidence from Nigeria
title_full_unstemmed Climate change, income sources, crop mix, and input use decisions: Evidence from Nigeria
title_short Climate change, income sources, crop mix, and input use decisions: Evidence from Nigeria
title_sort climate change income sources crop mix and input use decisions evidence from nigeria
topic household surveys
data
spatial data
temperature
precipitation
climate change
agricultural productivity
income
crops
inputs
nonfarm income
livestock
policies
irrigation
diversification
finance
url https://hdl.handle.net/10568/130562
work_keys_str_mv AT amaremulubrhan climatechangeincomesourcescropmixandinputusedecisionsevidencefromnigeria
AT balanabedru climatechangeincomesourcescropmixandinputusedecisionsevidencefromnigeria