Non-linear Impacts of Climate Change on Income and Inequality in Vietnam

Etienne Espagne, Nicolas de Laubier-Longuet Marx and Thanh Ngo-Duc

Working Paper from Agence française de développement

Abstract: This paper measures the marginal impact of climate variability on Vietnamese households’ income. We combine survey data from the Viet Nam Household Living Standard Survey (VHLSS) database with daily climate data from the Climate Prediction Center to estimate the response function of Vietnamese households’ revenues to past climate variability. We focus on the non-linearity of the response and notably on the impacts of extremely warm days. We find that on average an additional day above 33°C is associated with a decrease of the yearly income by 1.3%. This strong effect is not specific to the agricultural sector. It is highest for the lowest deciles of the revenue distribution. Using projection scenarios under the Representation Concentration Pathways (RCP) 8.5 and 4.5, we find an estimated impact of global warming of up to 100% of households’ revenues in 2090s in some regions (Northern region and the Red River Delta area) under RCP8.5. These strong negative impacts are also likely to be specifically concentrated on poor households and to increase revenue inequalities.

Keywords: Vietnam (search for similar items in EconPapers)
JEL-codes: Q (search for similar items in EconPapers)
Pages: 35
Date: 2019-03-28
New Economics Papers: this item is included in nep-agr, nep-dev, nep-env and nep-sea
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (8)

Published in Research Papers

Downloads: (external link)
https://www.afd.fr/sites/afd/files/2024-06-12-01-0 ... %A9%20Mai%202024.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:avg:wpaper:en9477

Access Statistics for this paper

More papers in Working Paper from Agence française de développement Contact information at EDIRC.
Bibliographic data for series maintained by AFD ().