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Interpersonal, Intertemporal and Spatial Variation in Risk Perceptions: Evidence from East Africa

Author

Listed:
  • Cheryl Doss

    (Yale University)

  • John McPeak

    (Syracuse University)

  • Christopher Barrett

    (Cornell University)

Abstract

This study investigates variation over time, space and household and individual characteristics in how people perceive different risks. Using original data from the arid and semi-arid lands of east Africa, we explore which risks concern individuals and how they assess their relative level of concern about these identified risks. Because these assessments were gathered for multiple time periods, sites, households and individuals within households, we are able to identify the degree to which risk perceptions vary across time, across communities, across households within a community, and across individuals within a household. We find the primary determinants of risk rankings to be changing community level variables over time, with household specific and individual specific variables exhibiting much less influence. This suggests that community based planning and monitoring of development efforts that address risk exposure should be prioritized. We also find that individuals throughout this area are most concerned about food security overall, so that development efforts that directly address this problem should be given the highest priority.

Suggested Citation

  • Cheryl Doss & John McPeak & Christopher Barrett, 2006. "Interpersonal, Intertemporal and Spatial Variation in Risk Perceptions: Evidence from East Africa," Working Papers 948, Economic Growth Center, Yale University.
    • Handle: RePEc:egc:wpaper:948
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    File URL: http://www.econ.yale.edu/growth_pdf/cdp948.pdf
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    References listed on IDEAS

    as
    1. Luseno, Winnie K. & McPeak, John G. & Barrett, Christopher B. & Little, Peter D. & Gebru, Getachew, 2003. "Assessing the Value of Climate Forecast Information for Pastoralists: Evidence from Southern Ethiopia and Northern Kenya," World Development, Elsevier, vol. 31(9), pages 1477-1494, September.
    2. Christoph Bühler & Hans-Peter Kohler, 2003. "Talking about AIDS," Demographic Research Special Collections, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 1(13), pages 397-438.
    3. Foster, Andrew D & Rosenzweig, Mark R, 1995. "Learning by Doing and Learning from Others: Human Capital and Technical Change in Agriculture," Journal of Political Economy, University of Chicago Press, vol. 103(6), pages 1176-1209, December.
    4. Travis J. Lybbert & Christopher B. Barrett & Solomon Desta & D. Layne Coppock, 2004. "Stochastic wealth dynamics and risk management among a poor population," Economic Journal, Royal Economic Society, vol. 114(498), pages 750-777, October.
    5. Jianakoplos, Nancy Ammon & Bernasek, Alexandra, 1998. "Are Women More Risk Averse?," Economic Inquiry, Western Economic Association International, vol. 36(4), pages 620-630, October.
    6. Haro, Guyo O. & Doyo, Godana J. & McPeak, John G., 2005. "Linkages Between Community, Environmental, and Conflict Management: Experiences from Northern Kenya," World Development, Elsevier, vol. 33(2), pages 285-299, February.
    7. John G. McPeak, 2003. "Analyzing and Addressing Localized Degradation in the Commons," Land Economics, University of Wisconsin Press, vol. 79(4), pages 515-536.
    8. Smith, Kevin & Barrett, Christopher B. & Box, Paul W., 2000. "Participatory Risk Mapping for Targeting Research and Assistance: With an Example from East African Pastoralists," World Development, Elsevier, vol. 28(11), pages 1945-1959, November.
    9. Matthew Rabin, 1998. "Psychology and Economics," Journal of Economic Literature, American Economic Association, vol. 36(1), pages 11-46, March.
    10. Lybbert, Travis J. & Barrett, Christopher B. & McPeak, John G. & Luseno, Winnie K., 2007. "Bayesian Herders: Updating of Rainfall Beliefs in Response to External Forecasts," World Development, Elsevier, vol. 35(3), pages 480-497, March.
    11. Lentz, Erin C. & Barrett, Christopher B., 2004. "Food Aid Targeting, Shocks And Private Transfers Among East African Pastoralists," 2004 Annual meeting, August 1-4, Denver, CO 20247, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
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    13. Renate Schubert, 1999. "Financial Decision-Making: Are Women Really More Risk-Averse?," American Economic Review, American Economic Association, vol. 89(2), pages 381-385, May.
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    15. Catherine C. Eckel & Philip J. Grossman, 2008. "Forecasting Risk Attitudes: An Experimental Study Using Actual and Forecast Gamble Choices," Monash Economics Working Papers archive-01, Monash University, Department of Economics.
    16. Matthew Rabin & Joel L. Schrag, 1999. "First Impressions Matter: A Model of Confirmatory Bias," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 114(1), pages 37-82.
    17. Jere Behrman & Hans-Peter Kohler & Susan C. Watkins, 2003. "Social Networks, HIV/AIDS and Risk Perceptions," PIER Working Paper Archive 03-007, Penn Institute for Economic Research, Department of Economics, University of Pennsylvania.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    risk ranking; risk perceptions; intrahousehold; Africa; Kenya; Ethiopia;
    All these keywords.

    JEL classification:

    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • D80 - Microeconomics - - Information, Knowledge, and Uncertainty - - - General
    • Q0 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General

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