Who is ‘stuck’ in the past? The impact of the 1998 great flood on the adoption of agricultural technology in China

Xiangpo Chen, S.T. Boris Choy and Xinyan Hu

Applied Economics, 2025, vol. 57, issue 40, 6367-6379

Abstract: This study estimates the impact of the 1998 Great Flood on the adoption of agricultural technology in China and its mechanism using a cross-sectional dataset collected from the ERA5-Land, the China Labor Force Dynamic Survey, the China Rural Statistical Yearbook, and the China Population Census. The analysis reveals an inverted U-shaped correlation between farmers’ exposure to the flood event and their propensity to embrace technological advancements in agriculture. Farmers who experienced medium flood exposure tend to be risk lovers and exhibit a 4.9% higher likelihood of adopting agricultural technology compared to their counterparts who did not experience the flood. On the contrary, farmers who faced extreme flood exposure tend to be risk averse and exhibit an 11.9% diminished likelihood of adopting agricultural technology compared to those who remained unscathed by the flood.

Date: 2025
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DOI: 10.1080/00036846.2024.2383798

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