The impacts of climate change on agricultural productivity in OECD countries

Mehrshad Radmehr and Richard Arhinful

Chapter 7 in Handbook on Climate Change Impacts, Mitigation, and Adaptation in Agriculture, 2026, pp 103-133 from Edward Elgar Publishing

Abstract: Climate change poses a significant threat to agricultural output, reducing yields and challenging food production globally. This chapter examines the effects of climate change on agricultural production in countries within the Organisation for Economic Co-operation and Development (OECD), using data from 1990 to 2022 across 38 countries. The augmented mean group estimator and fixed effects with Driscoll-Kraay standard errors were employed to account for cross-sectional dependence and ensure robust analysis. The findings reveal that annual average temperature, precipitation, CO₂ emissions, and arable land all had positive and significant impacts on agricultural productivity. Additionally, the chapter finds that fertilizer consumption positively moderates the relationship between annual average temperature and agricultural productivity. Similarly, precipitation positively moderates the impact of temperature on productivity, further highlighting the complex interactions between climate variables and agricultural performance.

Keywords: Agricultural Productivity; Arable Land; Climate Change; Precipitation; Sustainable Development (search for similar items in EconPapers)
Date: 2026
ISBN: 9781035344963
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