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Crop-Livestock Inter-linkages and Climate Change Implications for Ethiopia’s Agriculture: A Ricardian Approach

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  • Gebreegziabher, Zenebe
  • Mekonnen, Alemu
  • Deribe, Rahel
  • Abera, Samuel
  • Kassahun, Meseret Molla

Abstract

There have been few attempts to look into the economic impacts of climate change in the context of Ethiopia. Although mixed crop-livestock farming is a dominant farming style, most of the studies on climate change, at least in the context of Ethiopia, have emphasized only crop agriculture and disregarded the role of livestock. In this research, we analyze climate change and agricultural productivity in Ethiopia in its broader sense, inclusive of livestock production. We employ a Ricardian approach, estimating three modified versions of the Ricardian model. Results show that warmer temperature is beneficial to livestock agriculture, while it is harmful to the Ethiopian economy from the crop agriculture point of view. Moreover, increasing/decreasing rainfall associated with climate change is damaging to both agricultural activities.

Suggested Citation

  • Gebreegziabher, Zenebe & Mekonnen, Alemu & Deribe, Rahel & Abera, Samuel & Kassahun, Meseret Molla, 2013. "Crop-Livestock Inter-linkages and Climate Change Implications for Ethiopia’s Agriculture: A Ricardian Approach," Discussion Papers dp-13-14-efd, Resources For the Future.
  • Handle: RePEc:rff:dpaper:dp-13-14-efd
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    File URL: http://www.rff.org/RFF/documents/EfD-DP-13-14.pdf
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    References listed on IDEAS

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    1. Fafchamps, Marcel & Udry, Christopher & Czukas, Katherine, 1998. "Drought and saving in West Africa: are livestock a buffer stock?," Journal of Development Economics, Elsevier, vol. 55(2), pages 273-305, April.
    2. Deressa, Temesgen Tadesse, 2007. "Measuring the economic impact of climate change on Ethiopian agriculture : Ricardian approach," Policy Research Working Paper Series 4342, The World Bank.
    3. K.S. Kavi Kumar, 2009. "Climate Sensitivity of Indian Agriculture," Working Papers 2009-043, Madras School of Economics,Chennai,India.
    4. Molua, Ernest L. & Lambi, Cornelius M., 2007. "The economic impact of climate change on agriculture in Cameroon," Policy Research Working Paper Series 4364, The World Bank.
    5. Deressa, Temesgen & Hassan, Rashid M. & Ringler, Claudia, 2008. "Measuring Ethiopian farmers' vulnerability to climate change across regional states:," IFPRI discussion papers 806, International Food Policy Research Institute (IFPRI).
    6. Mendelsohn, Robert & Dinar, Ariel, 1999. "Climate Change, Agriculture, and Developing Countries: Does Adaptation Matter?," World Bank Research Observer, World Bank Group, vol. 14(2), pages 277-293, August.
    7. Deressa, Temesgen & Hassan, R. M. & Alemu, Tekie & Yesuf, Mahmud & Ringler, Claudia, 2008. "Analyzing the determinants of farmers' choice of adaptation methods and perceptions of climate change in the Nile Basin of Ethiopia:," IFPRI discussion papers 798, International Food Policy Research Institute (IFPRI).
    8. Temesgen Tadesse Deressa & Rashid M. Hassan, 2009. "Economic Impact of Climate Change on Crop Production in Ethiopia: Evidence from Cross-section Measures," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 18(4), pages 529-554, August.
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    More about this item

    Keywords

    crop-livestock inter-linkages; agriculture; climate change; Ricardian model; Ethiopia;

    JEL classification:

    • C31 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models; Quantile Regressions; Social Interaction Models
    • Q1 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture
    • Q24 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Land
    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming

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