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Harmful temperatures and consumption expenditure: evidence from Nigerian households

Jubril Animashaun

Lotanna Emediegwu

Nneka Osadolor

Okiemua Okoror

301 ­ ­ 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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Natig. Javadov

Azerbaijan State Agrarian University

  prof, dr  

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Samir. Maharramov

Doctoral student of the Azerbaijan Tourism and Management University

   

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Hamza. Khalilov

Agricultural Economics Research Center, Advisor to the director

  prof, dr  

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Savalan. Seyfaddinov

Senior researcher at the Scientific Research Institute of Agriculture Ministry of Agriculture of the Republic of Azerbaijan

  Ph.D. in Agrarian Sciences  

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Gabil. Kazimov

Research Institute of Crop Husbandry

   

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Esmira. Latifova

Director Adviser, Agricultural Economics Research Center

   

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Maarif. Yusiphov

Vegetable Research Institute

   

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Saadat. Hajiyeva

Ph.D. student of the Agricultural Economics Research Center

   

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Khayala. Guliyeva

Ph.D. student of the Agricultural Research Center

   

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Javid. Hasanov

Senior specialist, Agricultural Research Center Ph.D. student of the Agricultural Research Center

   

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Akram. Hasanzada

Ph.D. student of the Agricultural Research Center

   

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Vusala. Babayeva

Doctor of Science Program of Agricultural Economics Research Center

  Doctor of Philosophy in Economics  

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Israfil. Ismayilov

Member of the Russian Academy of Natural Sciences

  Prof. Dr.  

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Ulviyya. Rasulova

Azerbaijan State University of Economics (UNEC)

   

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Yegane. Abbasova

Azerbaijan State Agrarian University

  Doctor of Philosophy in Economics  

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Фамиль. Рустамов

Institute of Economics of the Ministry of Science and Education, "Economic problems of the agricultural sector" department

  Ph.D., docent