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A Ricardian analysis of the economic impact of climate change on agriculture: Evidence from the farms in the central highlands of Afghanistan

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  • Jawid, Asadullah

Abstract

This paper provides evidence on the economic impact of climate change on agriculture in the Central Highlands of Afghanistan by exploring the climate sensitivity of crop net revenue per unit of land. A Ricardian model and a novel 2017 dataset for 1502 farmers in three central provinces along with 34 years of weather information are used to study the impact of variations in seasonal precipitation and annual temperature. The findings suggest a significant and nonlinear effect of climate factors on crop net revenue. The impact of seasonal precipitation is found to vary across space and time. The effect of increased annual temperature is found to be generally positive and significant—both statistically and economically. The predicted impact of future climate change is largely beneficial, mainly due to warming.

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  • Jawid, Asadullah, 2020. "A Ricardian analysis of the economic impact of climate change on agriculture: Evidence from the farms in the central highlands of Afghanistan," Journal of Asian Economics, Elsevier, vol. 67(C).
    • Handle: RePEc:eee:asieco:v:67:y:2020:i:c:s104900782030021x
    DOI: 10.1016/j.asieco.2020.101177
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    3. Bašić Maja & Kovše Špela & Opačić Andraž & Pecarević Marijana & Obrecht Matevž, 2023. "Supply chain management mitigation to climate change in three selected industrial sectors," Logistics, Supply Chain, Sustainability and Global Challenges, Sciendo, vol. 14(1), pages 1-13, December.
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    6. Melese Mulu Baylie & Csaba Fogarassy, 2021. "Examining the Economic Impacts of Climate Change on Net Crop Income in the Ethiopian Nile Basin: A Ricardian Fixed Effect Approach," Sustainability, MDPI, vol. 13(13), pages 1-16, June.

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