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The Impact of Climate Change on Agriculture: Findings from Households in Vietnam

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  • Trong Anh Trinh

    (Royal Melbourne Institute of Technology)

Abstract

This paper examines farm household-level impacts of climate change by examining the relationship between climatic variables and Vietnamese agricultural output. The Ricardian technique is applied with panel data which accounts for both adaptation strategies and household characteristics. This study proposes a two-stage Hsiao model to correct for collinearity between climatic variables and individual effects. The results show that in the dry season, increases in temperatures are beneficial to all farms in the warmer southern regions, while increases in precipitation will damage only irrigated farms in the Central and South regions. The impact of higher temperature in the wet season is similar, except that it will negatively affect net revenue of irrigated farms in the long run. More rainfall in the wet season will increase net revenue in the North region only. Finally, this study combines the estimated results with future climate scenarios to predict how future changes in climate will affect farmers on aggregate.

Suggested Citation

  • 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.
    • Handle: RePEc:kap:enreec:v:71:y:2018:i:4:d:10.1007_s10640-017-0189-5
    DOI: 10.1007/s10640-017-0189-5
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    Cited by:

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    2. Trong-Anh, TRINH & Simon FEENY & Alberto POSSO, 2021. "The Impact of Natural Disasters on Migration: Findings from Vietnam," JODE - Journal of Demographic Economics, Cambridge University Press, vol. 87(3), pages 479-510, September.
    3. Feeny, Simon & Trinh, Trong-Anh & Zhu, Anna, 2021. "Temperature shocks and energy poverty: Findings from Vietnam," Energy Economics, Elsevier, vol. 99(C).
    4. Pham, Huong-Giang & Chuah, Swee-Hoon & Feeny, Simon, 2021. "Factors affecting the adoption of sustainable agricultural practices: Findings from panel data for Vietnam," Ecological Economics, Elsevier, vol. 184(C).
    5. Yabin Da & Yangyang Xu & Bruce McCarl, 2022. "Effects of Surface Ozone and Climate on Historical (1980–2015) Crop Yields in the United States: Implication for Mid-21st Century Projection," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 81(2), pages 355-378, February.
    6. Van Quang Do & Mai Lan Phung & Duc Toan Truong & Thi Thanh Trang Pham & Van Thanh Dang & The Kien Nguyen, 2021. "The Impact of Extreme Events and Climate Change on Agricultural and Fishery Enterprises in Central Vietnam," Sustainability, MDPI, vol. 13(13), pages 1-17, June.
    7. Awaworyi Churchill, Sefa & Munyanyi, Musharavati Ephraim & Trinh, Trong-Anh & Wiklund, Johan, 2024. "From disastrous heat waves to extreme rains: Effects of weather shocks on entrepreneurship," Journal of Business Venturing Insights, Elsevier, vol. 21(C).
    8. Abdul Quddoos & Klaus Salhofer & Ulrich B. Morawetz, 2023. "Utilising farm‐level panel data to estimate climate change impacts and adaptation potentials," Journal of Agricultural Economics, Wiley Blackwell, vol. 74(1), pages 75-99, February.
    9. Chau Trinh Nguyen & Frank Scrimgeour, 2022. "Measuring the impact of climate change on agriculture in Vietnam: A panel Ricardian analysis," Agricultural Economics, International Association of Agricultural Economists, vol. 53(1), pages 37-51, January.
    10. Alice Joan G. Ferrer & Le Ha Thanh & Pham Hong Chuong & Nguyen Tuan Kiet & Vu Thu Trang & Trinh Cong Duc & Jinky C. Hopanda & Benedict Mark Carmelita & Eisen Bernard Bernardo, 2023. "Farming household adoption of climate-smart agricultural technologies: evidence from North-Central Vietnam," Asia-Pacific Journal of Regional Science, Springer, vol. 7(2), pages 641-663, June.

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    More about this item

    Keywords

    Climate change; Agriculture; Ricardian model; Vietnam;
    All these keywords.

    JEL classification:

    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming
    • Q10 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - General

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