Long-lasting income shocks and adaptations: Evidence from coral bleaching in Indonesia

Pasita Chaijaroen

Journal of Development Economics, 2019, vol. 136, issue C, 119-136

Abstract: This paper explores how people adapt to climate shocks, specifically coral bleaching, that have long-lasting impacts on income. Caused mainly by abnormally high sea surface temperature, coral bleaching has significant effects on marine resources. Using panel data from Indonesia and exogenous variations in bleaching, I observe that fishery households in affected areas experienced a decrease in income relative to other households. Although consumption expenditures did not decline significantly in response to these income shocks, these households reduced their protein consumption in the short and long runs. Regarding labor market outcomes, the affected households tended to substantially increase their labor supply and switch industries only in the long run.

Keywords: Coral bleaching; Long-term income shock; Labor supply; Consumption; Climate change (search for similar items in EconPapers)
JEL-codes: D12 J22 O13 Q54 (search for similar items in EconPapers)
Date: 2019
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0304387818305169
Full text for ScienceDirect subscribers only

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:eee:deveco:v:136:y:2019:i:c:p:119-136

DOI: 10.1016/j.jdeveco.2018.10.002

Access Statistics for this article

Journal of Development Economics is currently edited by M. R. Rosenzweig

More articles in Journal of Development Economics from Elsevier
Bibliographic data for series maintained by Catherine Liu ().