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Harmful temperatures and consumption expenditure: evidence from Nigerian households

Jubril Animashaun

Lotanna Emediegwu

Nneka Osadolor

Okiemua Okoror

1375 ­ ­ EN ­ ­ 45. October 2024 ­ ­­ ­ climate change extreme heat food expenditure welfare Nigeria

This paper examines the effect of changes in temperature on households’ food expenditure in Nigeria. Using micro-data on consumption expenditure from Nigerian households, we find that extreme heat increases per capita consumption expenditure during dry seasons but not in wet seasons. Prior works show that small-scale farmers attenuate the effects of extreme heat on agricultural productivity through the short-term use of non-traded productive inputs, such as land. This evidence supports the view that the scope of climate change mitigating practices could keep food prices steady despite increases in extreme weather events. However, when investment in tradable inputs like drought-resistant technologies is greater, attenuating weather shocks could lower the welfare of netfood buyers if it increases food prices. To further support our interpretation, we find that relative to households in urban cities, rural households pay more for food during the dry season. We interpret this as a reflection of the higher costs of production associated with extreme heat during the dry season. Our results support policies that offer compensated income to vulnerable households to mitigate the impact of weather shocks in agrarian communities in developing countries

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Farman. Guliyev

Scientific Research Institute of Fruit-growing and Tea-growing

   

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Nazrin. Ramazanova

Master of Azerbaijan State University of Economics (UNEC)

   

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Boyukxanum. Abdulkarim

Baku State University

   

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Sabina. Valiyeva

Doctoral student of the Agro Researches Center

  Ph.D., docent  

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Nizami. Gafarov

Doctor of Science Program of Agro Researches Center

  Ph.D., docent  

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Esmira. Latifova

Director Adviser, Agricultural Economics Research Center

   

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Натиг. Гаджиев

Doctor of Science Program of Agricultural Research Center

  Ph.D., docent  

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Najiba. Hajiyeva

Baku State University

  Doctor of Philosophy in Economics  

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Gamar. Ibrahimova

Special Constructor Technology Bureau of the National Aerocosmic Agency

   

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Vahid. Abbasov

Head of the Department of Economics, Baku State University

  prof, dr  

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Elbrus. Akbarov

Azerbaijan State University of Economics (UNEC), senior lecturer

   

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Irada. Huseynova

Vice-president of Azerbaijan National Academy of Sciences Director of the Institute of Molecular Biology and Biotechnology, ANAS

  academician  

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Teymur. Nagibeyli

Ph.D. student of the Agricultural Economics Research Center

   

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Turan. Hajiyeva

Specialist of the Agricultural Research Center

   

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Tamraz. Tamrazov

Vegetable Research Institute

   

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Islam. Ibrahimov

Baku Business University

  prof, dr