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Harmful temperatures and consumption expenditure: evidence from Nigerian households

Jubril Animashaun

Lotanna Emediegwu

Nneka Osadolor

Okiemua Okoror

11914 ­ ­ EN ­ ­ 45. October 2024 ­ ­­ ­ climate change extreme heat food expenditure welfare Nigeria

 

UOT: 551.58

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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Tamraz. Temrazov

Vegetable Research Institute

   

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Javad. Gojamanov

Ph.D. student of Baku State University

   

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Elnur. Alakbarov

Dissertant of the Agricultural Economics 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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Elbrus. Akbarov

Azerbaijan State University of Economics (UNEC), senior lecturer

   

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Mushfiga. Mammadova

Agricultural Economics Research Center

  Ph.D., docent  

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Sabuhi. Eldarov

Research Institute of Plant Protection and Technical Plants

   

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Abbas. Safarov

Ph.D. student of the Agricultural Research Center

   

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Parviz. Aliyev

Chief of department, Agricultural Research Center
Ph.D. student of the Agricultural Research Center

   

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Ramil. Asgarov

Doctoral student of Azerbaijan State Agrarian University

   

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Bahruz. Nuriyev

Chief consultant in Ministry of Agriculture of Azerbaijan Republic

   

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Ramil. Huseyn

Center for Economic Reforms and Communication

  Doctor of Economics  

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Ramil. Aliyev

Ph.D. student of the Agricultural Research Center

   

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Samir. Maharramov

Doctoral student of Azerbaijan Tourism and Management University

   

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Ruhiyya. Mammadrzayeva

Research Institute of Plant Protection and Technical Plants

   

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Izzat. Talibov

Chief consultant in Ministry of Agriculture of Azerbaijan Republic