The impact of climate variability and change on economic growth and poverty in Zambia

We combined a hydro-crop model with a dynamic general equilibrium (DCGE) model to assess the impacts of climate variability and change on economic growth and poverty reduction in Zambia. The hydro-crop model is first used to estimate the impact of climate variability on crop yields over the past thr...

Full description

Bibliographic Details
Main Authors: Thurlow, James, Zhu, Tingju, Diao, Xinshen
Format: Artículo preliminar
Language:Inglés
Published: International Food Policy Research Institute 2009
Subjects:
Online Access:https://hdl.handle.net/10568/161986
_version_ 1855533023384043520
author Thurlow, James
Zhu, Tingju
Diao, Xinshen
author_browse Diao, Xinshen
Thurlow, James
Zhu, Tingju
author_facet Thurlow, James
Zhu, Tingju
Diao, Xinshen
author_sort Thurlow, James
collection Repository of Agricultural Research Outputs (CGSpace)
description We combined a hydro-crop model with a dynamic general equilibrium (DCGE) model to assess the impacts of climate variability and change on economic growth and poverty reduction in Zambia. The hydro-crop model is first used to estimate the impact of climate variability on crop yields over the past three decades and such analysis is done at the crop level for each of Zambia’s five agroecological zones, supported by the identification of zonal-level extreme weather events using a drought index analysis. Agricultural production is then disaggregated into these five agroelcological zones in the DCGE model. Drawing on the hydro-crop model results at crop level across the five zones, a series of simulations are designed using the DCGE model to assess the impact of climate variability on economic growth and poverty. We find that climate variability costs the country US$4.3 billion over a 10-year period. These losses reach as high as US$7.1 billion under Zambia’s worst rainfall scenario. Moreover, most of the negative impacts of climate variability occur in the southern and central regions of the country, where food insecurity is most vulnerable to climate shocks. Overall, climate variability keeps 300,000 people below the national poverty line by 2016. A similar method is also used to examine the potential impact of climate change on the economy based on projections of a well-known global climate model and two hypothetical scenarios. We find that the effects of current patterns of climate variability dominate over those of potential climate change in the near future (until 2025). Differences in assumptions regarding rainfall changes influence both the size (to a large degree) and direction (to a lesser extent) of the economic impact of climate change. If rainfall declines by 15 percent, then climate change enhances the negative effects of climate variability by a factor of 1.5 and pushes an additional 30,000 people below the poverty line over a 10-year period. Moreover, the effects of climate change and variability compound each other, with the number of poor people rising to 74,000 if climate change is coupled with Zambia’s worst 10-year historical rainfall pattern.
format Artículo preliminar
id CGSpace161986
institution CGIAR Consortium
language Inglés
publishDate 2009
publishDateRange 2009
publishDateSort 2009
publisher International Food Policy Research Institute
publisherStr International Food Policy Research Institute
record_format dspace
spelling CGSpace1619862025-11-06T07:01:29Z The impact of climate variability and change on economic growth and poverty in Zambia Thurlow, James Zhu, Tingju Diao, Xinshen climate variability computable general equilibrium models agriculture poverty climate change development policies We combined a hydro-crop model with a dynamic general equilibrium (DCGE) model to assess the impacts of climate variability and change on economic growth and poverty reduction in Zambia. The hydro-crop model is first used to estimate the impact of climate variability on crop yields over the past three decades and such analysis is done at the crop level for each of Zambia’s five agroecological zones, supported by the identification of zonal-level extreme weather events using a drought index analysis. Agricultural production is then disaggregated into these five agroelcological zones in the DCGE model. Drawing on the hydro-crop model results at crop level across the five zones, a series of simulations are designed using the DCGE model to assess the impact of climate variability on economic growth and poverty. We find that climate variability costs the country US$4.3 billion over a 10-year period. These losses reach as high as US$7.1 billion under Zambia’s worst rainfall scenario. Moreover, most of the negative impacts of climate variability occur in the southern and central regions of the country, where food insecurity is most vulnerable to climate shocks. Overall, climate variability keeps 300,000 people below the national poverty line by 2016. A similar method is also used to examine the potential impact of climate change on the economy based on projections of a well-known global climate model and two hypothetical scenarios. We find that the effects of current patterns of climate variability dominate over those of potential climate change in the near future (until 2025). Differences in assumptions regarding rainfall changes influence both the size (to a large degree) and direction (to a lesser extent) of the economic impact of climate change. If rainfall declines by 15 percent, then climate change enhances the negative effects of climate variability by a factor of 1.5 and pushes an additional 30,000 people below the poverty line over a 10-year period. Moreover, the effects of climate change and variability compound each other, with the number of poor people rising to 74,000 if climate change is coupled with Zambia’s worst 10-year historical rainfall pattern. 2009 2024-11-21T10:00:09Z 2024-11-21T10:00:09Z Working Paper https://hdl.handle.net/10568/161986 en Open Access application/pdf International Food Policy Research Institute Thurlow, James; Zhu, Tingju; Diao, Xinshen. 2009. The impact of climate variability and change on economic growth and poverty in Zambia. IFPRI Discussion Paper 890. https://hdl.handle.net/10568/161986
spellingShingle climate variability
computable general equilibrium models
agriculture
poverty
climate change
development policies
Thurlow, James
Zhu, Tingju
Diao, Xinshen
The impact of climate variability and change on economic growth and poverty in Zambia
title The impact of climate variability and change on economic growth and poverty in Zambia
title_full The impact of climate variability and change on economic growth and poverty in Zambia
title_fullStr The impact of climate variability and change on economic growth and poverty in Zambia
title_full_unstemmed The impact of climate variability and change on economic growth and poverty in Zambia
title_short The impact of climate variability and change on economic growth and poverty in Zambia
title_sort impact of climate variability and change on economic growth and poverty in zambia
topic climate variability
computable general equilibrium models
agriculture
poverty
climate change
development policies
url https://hdl.handle.net/10568/161986
work_keys_str_mv AT thurlowjames theimpactofclimatevariabilityandchangeoneconomicgrowthandpovertyinzambia
AT zhutingju theimpactofclimatevariabilityandchangeoneconomicgrowthandpovertyinzambia
AT diaoxinshen theimpactofclimatevariabilityandchangeoneconomicgrowthandpovertyinzambia
AT thurlowjames impactofclimatevariabilityandchangeoneconomicgrowthandpovertyinzambia
AT zhutingju impactofclimatevariabilityandchangeoneconomicgrowthandpovertyinzambia
AT diaoxinshen impactofclimatevariabilityandchangeoneconomicgrowthandpovertyinzambia