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Using the Ricardian Technique to estimate the impacts of climate change on Crop Farming in Pakistan

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  • Ahmed, Mirza Nomman
  • Schmitz, P. Michael
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    Abstract

    This study uses the Ricardian valuation technique to estimate the effect of climate change on the crop farming sector in Pakistan. As a main contribution this paper uses a large household level dataset comprising 3336 farming entities to analyze long-term climate impacts on farm net crop revenues. In particular temperature increases in key growing seasons can be harmful. Annual losses for crop farming ranging from 100-200US$ can be expected. Given an average crop net income of 450US$ per hectare, these impacts can be devastating for farmers. The climate impacts will vary across geographic regions. Temperature is found to be the detrimental factor for farming in Pakistan. Precipitation changes seem to have a rather negligible effect.

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    File URL: http://purl.umn.edu/114217
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    Bibliographic Info

    Paper provided by European Association of Agricultural Economists in its series 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland with number 114217.

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    Date of creation: 2011
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    Handle: RePEc:ags:eaae11:114217

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    Keywords: Crop Production/Industries; Environmental Economics and Policy;

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    1. Pradeep Kurukulasuriya & Robert Mendelsohn & Rashid Hassan & James Benhin & Temesgen Deressa & Mbaye Diop & Helmy Mohamed Eid & K. Yerfi Fosu & Glwadys Gbetibouo & Suman Jain & Ali Mahamadou & Renneth, 2006. "Will African Agriculture Survive Climate Change?," World Bank Economic Review, World Bank Group, vol. 20(3), pages 367-388.
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