Stochastic wealth dynamics and risk management among a poor population
We use herd history data collected among pastoralists in southern Ethiopia to study stochastic wealth dynamics among a poor population. Although covariate rainfall shocks plainly matter, household-specific factors, including own herd size, account for most observed variability in wealth dynamics. We...
| Main Authors: | , , , |
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| Format: | Journal Article |
| Language: | Inglés |
| Published: |
Oxford University Press
2004
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| Online Access: | https://hdl.handle.net/10568/916 |
| _version_ | 1855538079918456832 |
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| author | Lybbert, T.J. Barrett, Christopher B. Desta, S. Coppock, D. Layne |
| author_browse | Barrett, Christopher B. Coppock, D. Layne Desta, S. Lybbert, T.J. |
| author_facet | Lybbert, T.J. Barrett, Christopher B. Desta, S. Coppock, D. Layne |
| author_sort | Lybbert, T.J. |
| collection | Repository of Agricultural Research Outputs (CGSpace) |
| description | We use herd history data collected among pastoralists in southern Ethiopia to study stochastic wealth dynamics among a poor population. Although covariate rainfall shocks plainly matter, household-specific factors, including own herd size, account for most observed variability in wealth dynamics. We find no support for the tragedy of the commons hypothesis. Past studies may have conflated costly self-insurance with stocking rate externalities. Biophysical shocks move households between multiple dynamic wealth equilibria – the lowest suggesting a poverty trap – according to nonconvex path dynamics. These findings have broad implications for development and relief strategies among a poor population vulnerable to climatic shocks. |
| format | Journal Article |
| id | CGSpace916 |
| institution | CGIAR Consortium |
| language | Inglés |
| publishDate | 2004 |
| publishDateRange | 2004 |
| publishDateSort | 2004 |
| publisher | Oxford University Press |
| publisherStr | Oxford University Press |
| record_format | dspace |
| spelling | CGSpace9162024-03-06T10:16:43Z Stochastic wealth dynamics and risk management among a poor population Lybbert, T.J. Barrett, Christopher B. Desta, S. Coppock, D. Layne We use herd history data collected among pastoralists in southern Ethiopia to study stochastic wealth dynamics among a poor population. Although covariate rainfall shocks plainly matter, household-specific factors, including own herd size, account for most observed variability in wealth dynamics. We find no support for the tragedy of the commons hypothesis. Past studies may have conflated costly self-insurance with stocking rate externalities. Biophysical shocks move households between multiple dynamic wealth equilibria – the lowest suggesting a poverty trap – according to nonconvex path dynamics. These findings have broad implications for development and relief strategies among a poor population vulnerable to climatic shocks. 2004-10-01 2010-03-25T06:34:09Z 2010-03-25T06:34:09Z Journal Article https://hdl.handle.net/10568/916 en Open Access Oxford University Press Lybbert, T.J.; Barrett, C.B.; Desta, S.; Coppock, D.L. 2004. Stochastic wealth dynamics and risk management among a poor population. The Economic Journal. 114(498):750-777. |
| spellingShingle | Lybbert, T.J. Barrett, Christopher B. Desta, S. Coppock, D. Layne Stochastic wealth dynamics and risk management among a poor population |
| title | Stochastic wealth dynamics and risk management among a poor population |
| title_full | Stochastic wealth dynamics and risk management among a poor population |
| title_fullStr | Stochastic wealth dynamics and risk management among a poor population |
| title_full_unstemmed | Stochastic wealth dynamics and risk management among a poor population |
| title_short | Stochastic wealth dynamics and risk management among a poor population |
| title_sort | stochastic wealth dynamics and risk management among a poor population |
| url | https://hdl.handle.net/10568/916 |
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