Consumption smoothing and vulnerability in the Zone Lacustre, Mali

This paper explores risk sharing in the Zone Lacustre, Mali, as viewed through the lens of consumption smoothing. We find that idiosyncratic shocks appear to have little impact on consumption, and that households respond to these shocks in a variety of ways. In general, nonpoor households are more l...

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Main Authors: Harrower, Sarah, Hoddinott, John F.
Format: Brief
Language:Inglés
Published: International Food Policy Research Institute 2004
Subjects:
Online Access:https://hdl.handle.net/10568/157363
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author Harrower, Sarah
Hoddinott, John F.
author_browse Harrower, Sarah
Hoddinott, John F.
author_facet Harrower, Sarah
Hoddinott, John F.
author_sort Harrower, Sarah
collection Repository of Agricultural Research Outputs (CGSpace)
description This paper explores risk sharing in the Zone Lacustre, Mali, as viewed through the lens of consumption smoothing. We find that idiosyncratic shocks appear to have little impact on consumption, and that households respond to these shocks in a variety of ways. In general, nonpoor households are more likely to enter into new income-generating activities while poor households are more likely to engage in credit or gift exchange or to ration consumption. When we construct a stronger test for consumption smoothing, we find that changes in household income lead to modest changes in consumption. Covariant shocks, as measured by village/round dummies, always lead to changes in consumption. These results are robust to concerns regarding bias resulting from measurement error or endogeneity of changes in income. Lastly, we find that households with access to improved water control infrastructure are less vulnerable than those that rely on rainfall or the flooding of the Niger River.
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spelling CGSpace1573632025-01-10T06:43:02Z Consumption smoothing and vulnerability in the Zone Lacustre, Mali Harrower, Sarah Hoddinott, John F. vulnerability economic shock risk food consumption income credit households water supply This paper explores risk sharing in the Zone Lacustre, Mali, as viewed through the lens of consumption smoothing. We find that idiosyncratic shocks appear to have little impact on consumption, and that households respond to these shocks in a variety of ways. In general, nonpoor households are more likely to enter into new income-generating activities while poor households are more likely to engage in credit or gift exchange or to ration consumption. When we construct a stronger test for consumption smoothing, we find that changes in household income lead to modest changes in consumption. Covariant shocks, as measured by village/round dummies, always lead to changes in consumption. These results are robust to concerns regarding bias resulting from measurement error or endogeneity of changes in income. Lastly, we find that households with access to improved water control infrastructure are less vulnerable than those that rely on rainfall or the flooding of the Niger River. 2004 2024-10-24T12:49:13Z 2024-10-24T12:49:13Z Brief https://hdl.handle.net/10568/157363 en Open Access application/pdf International Food Policy Research Institute Harrower, Sarah; Hoddinott, John F. 2004. Consumption smoothing and vulnerability in the Zone Lacustre, Mali. FCND Discussion Paper Brief. 175. https://hdl.handle.net/10568/157363
spellingShingle vulnerability
economic shock
risk
food consumption
income
credit
households
water supply
Harrower, Sarah
Hoddinott, John F.
Consumption smoothing and vulnerability in the Zone Lacustre, Mali
title Consumption smoothing and vulnerability in the Zone Lacustre, Mali
title_full Consumption smoothing and vulnerability in the Zone Lacustre, Mali
title_fullStr Consumption smoothing and vulnerability in the Zone Lacustre, Mali
title_full_unstemmed Consumption smoothing and vulnerability in the Zone Lacustre, Mali
title_short Consumption smoothing and vulnerability in the Zone Lacustre, Mali
title_sort consumption smoothing and vulnerability in the zone lacustre mali
topic vulnerability
economic shock
risk
food consumption
income
credit
households
water supply
url https://hdl.handle.net/10568/157363
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