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Climate change and reindeer herding – a bioeconomic model on the economic implications for Saami reindeer herders in Sweden and Norway

Author

Listed:
  • Irmelin Slettemoen Helgesen

    (Department of Economics, Norwegian University of Science and Technology)

  • Anne Borge Johannesen

    (Department of Economics, Norwegian University of Science and Technology)

Abstract

The Arctic is warming three times faster than the global average. Rising temperatures could reduce the snow-covered season and increase plant productivity in the spring, fall and summer. While this may increase carrying capacity and growth of semi-domesticated reindeer, rising temperatures could also lead to an increase the frequency of ice-locked pastures, negatively affecting reindeer body mass, survival and reproductive success. We create a stage-structured bioeconomic model of reindeer herding that incorporates two counteracting effects of climate change on reindeer growth, reproduction, and survival. The model is calibrated using historical data on reindeer numbers and slaughter weights, in combination with weather data. We find that one more day with ice-locked pastures has a greater negative impact than the benefit of earlier spring. Then the model is used to simulate the economic impact of three climate change scenarios, and four areas in Norway and Sweden. All areas experience an improvement in herding profits in the Paris Agreement scenario. In the BAU scenario, the impact of climate change is negative for all areas. We also find that the potential loss in pasture related to certain emission mitigating policies may be more detrimental to reindeer husbandry than climate change itself.

Suggested Citation

  • Irmelin Slettemoen Helgesen & Anne Borge Johannesen, 2023. "Climate change and reindeer herding – a bioeconomic model on the economic implications for Saami reindeer herders in Sweden and Norway," Working Paper Series 19723, Department of Economics, Norwegian University of Science and Technology.
    • Handle: RePEc:nst:samfok:19723
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    File URL: http://www.svt.ntnu.no/iso/WP/2023/2_23.pdf
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    References listed on IDEAS

    as
    1. Anne Johannesen & Anders Skonhoft, 2011. "Livestock as Insurance and Social Status: Evidence from Reindeer Herding in Norway," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 48(4), pages 679-694, April.
    2. Pekkarinen, Antti-Juhani & Kumpula, Jouko & Tahvonen, Olli, 2015. "Reindeer management and winter pastures in the presence of supplementary feeding and government subsidies," Ecological Modelling, Elsevier, vol. 312(C), pages 256-271.
    3. Tahvonen, Olli & Kumpula, Jouko & Pekkarinen, Antti-Juhani, 2014. "Optimal harvesting of an age-structured, two-sex herbivore–plant system," Ecological Modelling, Elsevier, vol. 272(C), pages 348-361.
    4. Anne Borge Johannesen & Anders Skonhoft, 2009. "Local Common Property Exploitation with Rewards," Land Economics, University of Wisconsin Press, vol. 85(4), pages 637-654.
    5. Anne Borge Johannesen & Jon Olaf Olaussen & Anders Skonhoft, 2019. "Livestock and Carnivores: Economic and Ecological Interactions," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 74(1), pages 295-317, September.
    6. Bostedt, Goran, 2005. "Pastoralist Economic Behavior: Empirical Results from Reindeer Herders in Northern Sweden," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 30(2), pages 1-16, August.
    7. Bostedt, Göran & Lundgren, Tommy, 2010. "Accounting for cultural heritage -- A theoretical and empirical exploration with focus on Swedish reindeer husbandry," Ecological Economics, Elsevier, vol. 69(3), pages 651-657, January.
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    More about this item

    Keywords

    reindeer husbandry; climate change; commons; livestock; food limitation;
    All these keywords.

    JEL classification:

    • Q24 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Land
    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming

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