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Evaluation of socio-economic impact of drought events: the case of Po river basin

Author

Listed:
  • Musolino Dario

    (MSc., senior researcher, Centre for Research on Regional Economics, Transport and Tourism (CERTeT), Bocconi University, Via G. Roentgen 1, 20136 Milano, Italy)

  • de Carli Alessandro

    (Senior researcher, Centre for Research on Regional Economics, Transport and Tourism (CERTeT), Bocconi University, Via G. Roentgen 1, 20136 Milano, Italy)

  • Massarutto Antonio

    (Associate Professor, Dipartimento di Scienze Economiche e Statistiche (DIES), University of Udine, Via Palladio 8, 33100 Udine, Italy)

Abstract

The paper focuses on the socioeconomic impacts of drought events. Its objective is in particular to explore and study the distributive effects of drought events in the agricultural sector, taking the Po river basin, the most important agricultural area in Italy, as case study area. Its theoretical and methodological approach makes basis on the consumer surplus theory. One of the most remarkable outcomes of this analysis is that the effects of the drought events change considerably according to the social group. As far as agriculture is concerned, it shows that farmers and consumers are affected differently. Farmers can even earn from drought, because of the “price effect” caused by the scarcity of agricultural products; consumers always loses, because of the “quantity effect” and the “price effect”. Very different impacts, in terms of sign and magnitude, were also observed among the farmers themselves, in particular when they are distinguished by crop category, and by geographical area.

Suggested Citation

  • Musolino Dario & de Carli Alessandro & Massarutto Antonio, 2017. "Evaluation of socio-economic impact of drought events: the case of Po river basin," European Countryside, Sciendo, vol. 9(1), pages 163-176, March.
    • Handle: RePEc:vrs:eurcou:v:9:y:2017:i:1:p:163-176:n:10
    DOI: 10.1515/euco-2017-0010
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    References listed on IDEAS

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    1. Brusco, Sebastiano, 1982. "The Emilian Model: Productive Decentralisation and Social Integration," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 6(2), pages 167-184, June.
    2. R. Quentin Grafton & Michael B. Ward, 2008. "Prices versus Rationing: Marshallian Surplus and Mandatory Water Restrictions," The Economic Record, The Economic Society of Australia, vol. 84(s1), pages 57-65, September.
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    Cited by:

    1. Lupu Laura, 2019. "The concept of social risk: A geographical approach," Quaestiones Geographicae, Sciendo, vol. 38(4), pages 5-13, December.
    2. Auci, Sabrina & Pronti, Andrea, 2023. "Irrigation technology adaptation for a sustainable agriculture: A panel endogenous switching analysis on the Italian farmland productivity," Resource and Energy Economics, Elsevier, vol. 74(C).
    3. Sabrina Auci & Andrea Pronti, 2020. "Innovation in Irrigation Technologies for Sustainable Agriculture: An Endogenous Switching Analysis on Italian Farms’ Land Productivity," SEEDS Working Papers 1220, SEEDS, Sustainability Environmental Economics and Dynamics Studies, revised Dec 2020.
    4. Monteleone, Beatrice & Borzí, Iolanda & Bonaccorso, Brunella & Martina, Mario, 2022. "Developing stage-specific drought vulnerability curves for maize: The case study of the Po River basin," Agricultural Water Management, Elsevier, vol. 269(C).

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