Farmers’ Adaptation to Climate Change: A Framed Field Experiment

Alpízar, Francisco, Fredrik Carlsson and Maria A. Naranjo
Authors registered in the RePEc Author Service: Francisco Alpizar Rodriguez

RFF Working Paper Series from Resources for the Future

Abstract: The risk of losing income and productive means due to adverse weather can differ significantly among farmers sharing a productive landscape and is, of course, hard to estimate or even “guesstimate†empirically. Moreover, the costs associated with investments in adaptation to climate are likely to exhibit economies of scope. We explore the implications of these characteristics on Costa Rican coffee farmers’ decisions to adapt to climate change, using a framed field experiment. Despite having a baseline of high levels of risk aversion, we still found that farmers more frequently chose the safe options when the setting is characterized by unknown risk (that is, poor or unreliable risk information). Second, we found that farmers, to a large extent, coordinated their decisions to secure a lower adaptation cost and that communication among farmers strongly facilitated coordination.

Keywords: risk; ambiguity; technology adoption; climate change; field experiment (search for similar items in EconPapers)
JEL-codes: C93 D81 H41 Q16 Q54 (search for similar items in EconPapers)
Date: 2010-11-03
New Economics Papers: this item is included in nep-agr, nep-cbe, nep-ene, nep-env, nep-exp and nep-res
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