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Disquiet on the weather front : the welfare impacts of climatic variability in the rural Philippines

Author

Listed:
  • Safir, Abla
  • Piza, Sharon Faye
  • Skoufias, Emmanuel

Abstract

Three recent rounds (2003, 2006, and 2009) of the Family Income and Expenditure Survey are matched to rainfall data from 43 rainfall stations in the Philippines to quantify the extent to which unusual weather has any negative effects on the consumption of Filipino households. It is found that negative rainfall shocks decrease consumption, in particular food consumption. Rainfall below one standard deviation of its long-run average causes food consumption to decrease by about 4 percent, when compared with rainfall within one standard deviation. Positive deviations above one standard deviation have a limited impact. Moreover, for households close to a highway or to a fixed-line phone, consumption appears to be fully protected from the impact of negative rainfall shocks.

Suggested Citation

  • Safir, Abla & Piza, Sharon Faye & Skoufias, Emmanuel, 2013. "Disquiet on the weather front : the welfare impacts of climatic variability in the rural Philippines," Policy Research Working Paper Series 6579, The World Bank.
  • Handle: RePEc:wbk:wbrwps:6579
    as

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    References listed on IDEAS

    as
    1. Datt, Gaurav & Hoogeveen, Hans, 2003. "El Nino or El Peso? Crisis, Poverty and Income Distribution in the Philippines," World Development, Elsevier, vol. 31(7), pages 1103-1124, July.
    2. Rosenzweig, Mark R & Binswanger, Hans P, 1993. "Wealth, Weather Risk and the Composition and Profitability of Agricultural Investments," Economic Journal, Royal Economic Society, vol. 103(416), pages 56-78, January.
    3. Nidhiya Menon, 2009. "Rainfall Uncertainty and Occupational Choice in Agricultural Households of Rural Nepal," Journal of Development Studies, Taylor & Francis Journals, vol. 45(6), pages 864-888.
    4. Elaina Rose, 1999. "Consumption Smoothing and Excess Female Mortality in Rural India," The Review of Economics and Statistics, MIT Press, vol. 81(1), pages 41-49, February.
    5. Hanan G. Jacoby & Emmanuel Skoufias, 1998. "Testing Theories of Consumption Behavior Using Information on Aggregate Shocks: Income Seasonality and Rainfall in Rural India," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 80(1), pages 1-14.
    6. Seema Jayachandran, 2006. "Selling Labor Low: Wage Responses to Productivity Shocks in Developing Countries," Journal of Political Economy, University of Chicago Press, vol. 114(3), pages 538-575, June.
    7. Stefan Dercon & Pramila Krishnan, 2000. "Vulnerability, seasonality and poverty in Ethiopia," Journal of Development Studies, Taylor & Francis Journals, vol. 36(6), pages 25-53.
    8. HwaJung Choi, 2007. "Are Remittances Insurance? Evidence from Rainfall Shocks in the Philippines," World Bank Economic Review, World Bank Group, vol. 21(2), pages 219-248, May.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Science of Climate Change; Climate Change Mitigation and Green House Gases; Water Conservation; Regional Economic Development; Climate Change Economics;

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