A Ricardian analysis of Mexican farms

Robert Mendelsohn, Jesus Arellano-Gonzalez, Peter Christensen

Research output: Contribution to journalArticle

Abstract

This paper measures the impact of climate on Mexican agriculture using a Ricardian analysis. The analysis relies on economic data from 621 individual farms that were collected in 2002. Data on climate, elevation, soils, and distance to nearest city were matched with each farm. The analysis reveals that farmland values in Mexico are sensitive to climate. On average, warmer temperatures reduce land value by 4,000 to 6,000 pesos per degree Celsius. Examining three climate scenarios for 2100, the models predict average losses of between -42% to -54% of land value in Mexico. As a percent of income, rainfed farms will suffer slightly larger damages than irrigated farms but comparisons between small and large farms are mixed.

Original languageEnglish (US)
Pages (from-to)153-171
Number of pages19
JournalEnvironment and Development Economics
Volume15
Issue number2
DOIs
StatePublished - Apr 1 2010
Externally publishedYes

ASJC Scopus subject areas

  • Development
  • Environmental Science(all)
  • Economics and Econometrics

Fingerprint Dive into the research topics of 'A Ricardian analysis of Mexican farms'. Together they form a unique fingerprint.

  • Cite this