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Assessing the Vulnerability of Agricultural Households to Macroeconomic Shocks: Evidence from Mexico

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Author Info

  • Rubio, Gloria M.
  • Soloaga, Isidro

Abstract

This paper uses cross-sectional data from Mexico before and after the 1994 peso crisis to analyze rural household vulnerability to macroeconomic shocks. The study suggests that agricultural households are less vulnerable than non-agricultural households. The impacts vary depending on type of production and specialization level. Among agricultural households, those with a higher proportion of corn and bean production for self-consumption fared better than households which engaged in stronger market participation. Although the decline in their monetary income and consumption was more or less similar to that of the more market-oriented agricultural households, they were better able to shield their total income and consumption as well as their food expenditures.

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File URL: http://purl.umn.edu/12007
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Bibliographic Info

Article provided by Food and Agriculture Organization, Agricultural and Development Economics Division in its journal eJADE: electronic Journal of Agricultural and Development Economics.

Volume (Year): 1 (2004)
Issue (Month): 1 ()
Pages:

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Handle: RePEc:ags:ejadef:12007

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Related research

Keywords: economic shocks; household vulnerability; Mexico; rural poverty; Consumer/Household Economics; Food Security and Poverty;

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References

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  1. Frankenberg, E. & Thomas, D. & Beegle, K., 1999. "The Real Costs of Indonesia's Economic Crisis: Preliminary Findings from the Indonesia Family Life Surveys," Papers 99-04, RAND - Labor and Population Program.
  2. David McKenzie, 2002. "Distangling Age, Cohort and Time Effects in the Additive Model," Working Papers 02009, Stanford University, Department of Economics.
  3. Glewwe, Paul & Hall, Gillette, 1998. "Are some groups more vulnerable to macroeconomic shocks than others? Hypothesis tests based on panel data from Peru," Journal of Development Economics, Elsevier, vol. 56(1), pages 181-206, June.
  4. Ersado, Lire & Alderman, Harold & Alwang, Jeffrey, 2003. "Changes in Consumption and Saving Behavior before and after Economic Shocks: Evidence from Zimbabwe," Economic Development and Cultural Change, University of Chicago Press, vol. 52(1), pages 187-215, October.
  5. Canagarajah, P. Sudharshan & Siegel, Paul B. & Heitzmann, Karin, 2002. "Guidelines for assessing the sources of risk and vulnerability," Social Protection Discussion Papers 31372, The World Bank.
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Cited by:
  1. Glukhikh, Rimma & Lerman, Zvi & Schwartz, Moshe, 2005. "Vulnerability And Risk Management Among Turkmen Leaseholders," Discussion Papers 7144, Hebrew University of Jerusalem, Department of Agricultural Economics and Management.
  2. Glukhikh, Rimma & Lerman, Zvi & Schwartz, Moshe, 2006. "Vulnerability and Risk Management among Turkmen Leaseholders," 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia 25757, International Association of Agricultural Economists.

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