Journal
AGRICULTURAL ECONOMICS
Volume 40, Issue 5, Pages 573-586Publisher
WILEY-BLACKWELL PUBLISHING, INC
DOI: 10.1111/j.1574-0862.2009.00399.x
Keywords
O1; Q1; R2; Climate; Shocks; Agriculture; Household income; Migrants
Categories
Funding
- University of Miami
- Earth Institute at Columbia University
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We find that large short-term precipitation shocks damage the long-term income of households that have permanently migrated from rural to urban areas. This outcome is consistent with the behavior of credit-constrained rural households who are willing to accept lower long-term income in urban areas following the depletion of their productive assets during an adverse shock. Our empirical evidence suggests that there may be a link between large precipitation shocks in rural areas and urban poverty. Further exploration is warranted on the mechanisms by which natural disasters cause these long-term losses.
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