IDEAS home Printed from https://ideas.repec.org/a/eee/agisys/v141y2015icp48-57.html
   My bibliography  Save this article

A spatial micro-econometric approach to estimating climate change impacts on wine firm performance: A case study from Moldavia region, Romania

Author

Listed:
  • De Salvo, Maria
  • Begalli, Diego
  • Capitello, Roberta
  • Signorello, Giovanni

Abstract

This article proposes a micro-econometric approach to assess climate change impacts on wine industry performance in the Moldavia region of Romania. In the assessment we consider the spatial variability of wine-growing micro-areas and employ a small scale for the analysis. Results show that vineyard revenue is influenced by a local effect. Spatial differences among municipalities are highlighted and are driven by vineyard locations and distance from urban areas. Differences at the local scale reflect the presence of structural and environmental constraints. Findings demonstrate that climate change impacts vary significantly among simulated scenarios. The simulated increase in temperature should compensate for the negative effect caused by rainfall changes. Results also suggest that winegrowers should benefit from climate change, although this will depend on the vineyard's location. Potential policy measures designed to remove local constraints and to capitalise on the positive effects of climate change are discussed.

Suggested Citation

  • De Salvo, Maria & Begalli, Diego & Capitello, Roberta & Signorello, Giovanni, 2015. "A spatial micro-econometric approach to estimating climate change impacts on wine firm performance: A case study from Moldavia region, Romania," Agricultural Systems, Elsevier, vol. 141(C), pages 48-57.
    • Handle: RePEc:eee:agisys:v:141:y:2015:i:c:p:48-57
    DOI: 10.1016/j.agsy.2015.09.008
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0308521X15300317
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.agsy.2015.09.008?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Robert Mendelsohn & Ariel Dinar, 2009. "Climate Change and Agriculture," Books, Edward Elgar Publishing, number 12990.
    2. Mendelsohn, Robert & Nordhaus, William D & Shaw, Daigee, 1994. "The Impact of Global Warming on Agriculture: A Ricardian Analysis," American Economic Review, American Economic Association, vol. 84(4), pages 753-771, September.
    3. Olivier Deschênes & Michael Greenstone, 2007. "The Economic Impacts of Climate Change: Evidence from Agricultural Output and Random Fluctuations in Weather," American Economic Review, American Economic Association, vol. 97(1), pages 354-385, March.
    4. Orley Ashenfelter & Karl Storchmann, 2010. "Measuring the Economic Effect of Global Warming on Viticulture Using Auction, Retail, and Wholesale Prices," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 37(1), pages 51-64, August.
    5. De Salvo, Maria & Raffaelli, Roberta & Moser, Riccarda, 2013. "The impact of climate change on permanent crops in an Alpine region: A Ricardian analysis," Agricultural Systems, Elsevier, vol. 118(C), pages 23-32.
    6. Lecocq, Sébastien & Visser, Michael, 2006. "Spatial Variations in Weather Conditions and Wine Prices in Bordeaux," Journal of Wine Economics, Cambridge University Press, vol. 1(2), pages 114-124, October.
    7. Mendelsohn, Robert & Arellano-Gonzalez, Jesus & Christensen, Peter, 2010. "A Ricardian analysis of Mexican farms," Environment and Development Economics, Cambridge University Press, vol. 15(2), pages 153-171, April.
    8. Storchmann, Karl, 2012. "Wine Economics," Journal of Wine Economics, Cambridge University Press, vol. 7(1), pages 1-33, May.
    9. Alston, Julian M. & Fuller, Kate B. & Lapsley, James T. & Soleas, George, 2011. "Too Much of a Good Thing? Causes and Consequences of Increases in Sugar Content of California Wine Grapes," Journal of Wine Economics, Cambridge University Press, vol. 6(2), pages 135-159, October.
    10. Orley Ashenfelter & Karl Storchmann, 2010. "Using Hedonic Models of Solar Radiation and Weather to Assess the Economic Effect of Climate Change: The Case of Mosel Valley Vineyards," The Review of Economics and Statistics, MIT Press, vol. 92(2), pages 333-349, May.
    11. Rizov, Marian & Gavrilescu, Dinu & Gow, Hamish & Mathijs, Erik & Swinnen, Johan F. M., 2001. "Transition and Enterprise Restructuring: The Development of Individual Farming in Romania," World Development, Elsevier, vol. 29(7), pages 1257-1274, July.
    12. Beatrice Conradie & Graham Cookson & Colin Thirtle, 2006. "Efficiency And Farm Size In Western Cape Grape Production: Pooling Small Datasets," South African Journal of Economics, Economic Society of South Africa, vol. 74(2), pages 334-343, June.
    13. Jean-Michel Chevet & Sebastien Lecocq & Michael Visser, 2011. "Climate, Grapevine Phenology, Wine Production, and Prices: Pauillac (1800-2009)," American Economic Review, American Economic Association, vol. 101(3), pages 142-146, May.
    14. Jones, Gregory V. & Storchmann, Karl-Heinz, 2001. "Wine market prices and investment under uncertainty: an econometric model for Bordeaux Crus Classes," Agricultural Economics, Blackwell, vol. 26(2), pages 115-133, November.
    15. John W. Haeger & Karl Storchmann, 2006. "Prices of American Pinot Noir wines: climate, craftsmanship, critics," Agricultural Economics, International Association of Agricultural Economists, vol. 35(1), pages 67-78, July.
    16. Ashenfelter, Orley & Storchmann, Karl, 2014. "Wine and Climate Change," Working Papers 164854, American Association of Wine Economists.
    17. Roxana Stoian & Dan Boboc & Mirela Stoian, 2013. "Changes and Trends on Wine Market in Romania," International Conference on Competitiveness of Agro-food and Environmental Economy Proceedings, The Bucharest University of Economic Studies, vol. 2, pages 50-58.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. De Salvo, Maria & Capitello, Roberta & Gaudenzi, Barbara & Begalli, Diego, 2019. "Risk management strategies and residual risk perception in the wine industry: A spatial analysis in Northeast Italy," Land Use Policy, Elsevier, vol. 83(C), pages 47-62.
    2. Asitha De Silva & Dilanthi Amaratunga & Richard Haigh, 2022. "Green and Blue Infrastructure as Nature-Based Better Preparedness Solutions for Disaster Risk Reduction: Key Policy Aspects," Sustainability, MDPI, vol. 14(23), pages 1-26, December.
    3. Heping Li & Tao Lin, 2022. "Do Land Use Structure Changes Impact Regional Carbon Emissions? A Spatial Econometric Study in Sichuan Basin, China," IJERPH, MDPI, vol. 19(20), pages 1-17, October.
    4. Viorica GAVRILĂ, 2019. "Analysis Of The Wine-Growing Sector In Romania In Regional Profile," Agricultural Economics and Rural Development, Institute of Agricultural Economics, vol. 16(2), pages 253-260.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Ashenfelter, Orley & Storchmann, Karl, 2014. "Wine and Climate Change," Working Papers 164854, American Association of Wine Economists.
    2. Orley Ashenfelter & Karl Storchmann, 2010. "Measuring the Economic Effect of Global Warming on Viticulture Using Auction, Retail, and Wholesale Prices," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 37(1), pages 51-64, August.
    3. Birthal, P.S. & Negi, Digvijay S. & Kumar, Shiv & Aggarwal, Shaily & Suresh, A. & Khan, Md. Tajuddin, 2014. "How Sensitive is Indian Agriculture to Climate Change?," Indian Journal of Agricultural Economics, Indian Society of Agricultural Economics, vol. 69(4), pages 1-14.
    4. Martina Bozzola & Emanuele Massetti & Robert Mendelsohn & Fabian Capitanio, 2018. "A Ricardian analysis of the impact of climate change on Italian agriculture," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 45(1), pages 57-79.
    5. Omamuyovwi Gbejewoh & Saskia Keesstra & Erna Blancquaert, 2021. "The 3Ps (Profit, Planet, and People) of Sustainability amidst Climate Change: A South African Grape and Wine Perspective," Sustainability, MDPI, vol. 13(5), pages 1-23, March.
    6. Attavanich, Witsanu, 2013. "The Effect of Climate Change on Thailand’s Agriculture," MPRA Paper 84005, University Library of Munich, Germany, revised Feb 2014.
    7. Trong Anh Trinh, 2018. "The Impact of Climate Change on Agriculture: Findings from Households in Vietnam," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 71(4), pages 897-921, December.
    8. Attavanich, Witsanu, 2017. "Effect of climate change on Thailand’s agriculture: New results," MPRA Paper 118290, University Library of Munich, Germany.
    9. McCarl, Bruce A. & Attavanich, Witsanu & Musumba, Mark & Mu, Jianhong E. & Aisabokhae, Ruth, 2011. "Land Use and Climate Change," MPRA Paper 83993, University Library of Munich, Germany, revised 2014.
    10. Chunxiao Song & Xiao Huang & Oxley Les & Hengyun Ma & Ruifeng Liu, 2022. "The Economic Impact of Climate Change on Wheat and Maize Yields in the North China Plain," IJERPH, MDPI, vol. 19(9), pages 1-15, May.
    11. De Salvo, Maria & Raffaelli, Roberta & Moser, Riccarda, 2013. "The impact of climate change on permanent crops in an Alpine region: A Ricardian analysis," Agricultural Systems, Elsevier, vol. 118(C), pages 23-32.
    12. Alejandro Lopez-Feldman, 2013. "Climate change, agriculture, and poverty: A household level analysis for rural Mexico," Economics Bulletin, AccessEcon, vol. 33(2), pages 1126-1139.
    13. Cristina Cattaneo & Emanuele Massetti, 2019. "Does Harmful Climate Increase Or Decrease Migration? Evidence From Rural Households In Nigeria," Climate Change Economics (CCE), World Scientific Publishing Co. Pte. Ltd., vol. 10(04), pages 1-36, November.
    14. Ashenfelter, Orley, 2010. "Predicting the Quality and Prices of Bordeaux Wine," Journal of Wine Economics, Cambridge University Press, vol. 5(1), pages 40-52, April.
    15. Carlo Fezzi & Ian Bateman, 2015. "The Impact of Climate Change on Agriculture: Nonlinear Effects and Aggregation Bias in Ricardian Models of Farmland Values," Journal of the Association of Environmental and Resource Economists, University of Chicago Press, vol. 2(1), pages 57-92.
    16. Jesse Tack & Ardian Harri & Keith Coble, 2012. "More than Mean Effects: Modeling the Effect of Climate on the Higher Order Moments of Crop Yields," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 94(5), pages 1037-1054.
    17. Emediegwu, Lotanna E. & Ubabukoh, Chisom L., 2023. "Re-examining the impact of annual weather fluctuations on global livestock production," Ecological Economics, Elsevier, vol. 204(PA).
    18. Ashenfelter, Orley, 2017. "The Hedonic Approach to Vineyard Site Selection: Adaptation to Climate Change and Grape Growing in Emerging Markets," Journal of Wine Economics, Cambridge University Press, vol. 12(1), pages 3-15, February.
    19. Steven Passel & Emanuele Massetti & Robert Mendelsohn, 2017. "A Ricardian Analysis of the Impact of Climate Change on European Agriculture," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 67(4), pages 725-760, August.
    20. Catherine Benjamin & Ewen Gallic, 2017. "Effects of Climate Change on Agriculture: a European case study," Economics Working Paper Archive (University of Rennes 1 & University of Caen) 2017-16, Center for Research in Economics and Management (CREM), University of Rennes 1, University of Caen and CNRS.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:agisys:v:141:y:2015:i:c:p:48-57. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/agsy .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.