World Scientific
  • Search
  •   
Skip main navigation

Cookies Notification

We use cookies on this site to enhance your user experience. By continuing to browse the site, you consent to the use of our cookies. Learn More
×

System Upgrade on Tue, May 28th, 2024 at 2am (EDT)

Existing users will be able to log into the site and access content. However, E-commerce and registration of new users may not be available for up to 12 hours.
For online purchase, please visit us again. Contact us at [email protected] for any enquiries.

A RICARDIAN ANALYSIS OF CLIMATE CHANGE IMPACTS ON JAPAN’s AGRICULTURE: ACCOUNTING FOR SOLAR RADIATION

    https://doi.org/10.1142/S2010007823500227Cited by:0 (Source: Crossref)

    This study evaluates the effects of climate change on the net revenue of farmers in Japan. We adopted the Ricardian model, which implicitly accounts for farmers’ full adaptation. The main findings of this study are as follows. First, the Ricardian regression shows that changes in temperature significantly impact farmers’ net revenue. In contrast, changes in precipitation have limited effects on farmers’ net revenue. The results of future predictions showed that the effects of climate change are positive across the country, with varying degrees between north and south. These results are more optimistic than those in the existing literature, which frequently reveal negative climate change impacts in southern Japan. However, it should be noted that this model assumes full adaptation and does not consider the transition costs of farmers, and understanding the actual adaptive measures is an important remaining issue.

    References

    • Anselin, L [1988] Spatial Econometrics: Methods and Models. Springer. CrossrefGoogle Scholar
    • Blanc, E and W Schlenker [2017] The use of panel models in assessments of climate impacts on agriculture. Review of Environmental Economics and Policy, 11(2), 258–279. CrossrefGoogle Scholar
    • Burke, M and K Emerick [2016] Adaptation to climate change: Evidence from US agriculture. American Economic Journal: Economic Policy, 8(3), 106–140. CrossrefGoogle Scholar
    • Carter, C, X Cui, D Ghanem and P Mérel [2018] Identifying the economic impacts of climate change on agriculture. Annual Review of Resource Economics, 10(1), 361–380. CrossrefGoogle Scholar
    • Cui, X [2020] Climate change and adaptation in agriculture: Evidence from US cropping patterns. Journal of Environmental Economics and Management, 101, 102306. CrossrefGoogle Scholar
    • DePaula, G [2020] The distributional effect of climate change on agriculture: Evidence from a Ricardian quantile analysis of Brazilian census data. Journal of Environmental Economics and Management, 104, 102378. CrossrefGoogle Scholar
    • De Salvo, M, R Raffaelli and R Moser [2013] The impact of climate change on permanent crops in an Alpine region: A Ricardian analysis. Agricultural Systems, 118, 23–32. CrossrefGoogle Scholar
    • De Salvo, M, D Begalli and G Signorello [2014] The Ricardian analysis twenty years after the original model: Evolution, unresolved issues, and empirical problems. Journal of Development and Agricultural Economics, 6(3), 124–131. CrossrefGoogle Scholar
    • Deschênes, O and M Greenstone [2007] The economic impacts of climate change: Evidence from agricultural output and random fluctuations in weather. American Economic Review, 97(1), 354–385. CrossrefGoogle Scholar
    • Fisher, AC, WM Hanemann, MJ Roberts and W Schlenker [2012] The economic impacts of climate change: Evidence from agricultural output and random fluctuations in weather: Comment. American Economic Review, 102(7), 3749–3760. CrossrefGoogle Scholar
    • IPCC (2021). Summary for policymakers. In Climate Change 2021: The Physical Science Basis. Contribution of Working Group I to the Sixth Assessment Report of the Intergovernmental Panel on Climate Change, Cambridge University Press [in press]. Google Scholar
    • Ishizaki, N, M Nishimori, T Iizumi, H Shiogama, N Hanasaki and K Takahashi [2020] Evaluation of two bias-correction methods for gridded climate scenarios over Japan. Scientific Online Letters on the Atmosphere, 16, 80–85. Google Scholar
    • Japan Meteorological Agency (2022). Basic information on solar and infrared radiation, https://www.data.jma.go.jp/gmd/env/radiation/en/know_std_rad_e.html. Google Scholar
    • Kamada, E, T Ishii and K Okada [2021] Effect of temperature and solar radiation on dry matter production of spinach for processing use. The Horticulture Journal (Japan), 20(4), 423–432 [in Japanese with English title and abstract]. CrossrefGoogle Scholar
    • Kawasaki, K and S Uchida [2016] Quality matters more than quantity: Asymmetric temperature effects on crop yield and quality grade. American Journal of Agricultural Economics, 98(4), 1195–1209. CrossrefGoogle Scholar
    • Kawasaki, K [2019] Two harvests are better than one: Double cropping as a strategy for climate change adaptation. American Journal of Agricultural Economics, 101(1), 172–192. CrossrefGoogle Scholar
    • Kelejian, HH and IR Prucha [2010] Specification and estimation of spatial autoregressive models with autoregressive and heteroskedastic disturbances. Journal of Econometrics, 157(1), 53–67. CrossrefGoogle Scholar
    • Kelly, DL, CD Kolstad and GT Mitchell [2005] Adjustment costs from environmental change. Journal of Environmental Economics and Management, 50(3), 468–495. CrossrefGoogle Scholar
    • Kunimitsu, Y, R Kudo, T Iizumi and M Yokozawa [2014] Influences of climate change and spatial dependence on rice total factor productivity: Evidence from spatial econometric models. Studies in Regional Science, 44(3), 305–325. CrossrefGoogle Scholar
    • Liu, H, X Li, G Fischer and L Sun [2004] Study on the impacts of climate change on China’s agriculture. Climatic Change, 65, 125–148. CrossrefGoogle Scholar
    • Massetti, E and R Mendelsohn [2020] Temperature thresholds and the effect of warming on American farmland value. Climatic Change, 161, 601–615. CrossrefGoogle Scholar
    • Matsumoto, K and M Takagi [2017] Climate change impact and adaptation on rice production in Japan. Environmental Science (Japan), 30(6), 346–356 [in Japanese with English title and abstract]. Google Scholar
    • Mendelsohn, R, WD Nordhaus and D Shaw [1994] The impact of global warming on agriculture: A Ricardian analysis. American Economic Review, 84(4), 753–771. Google Scholar
    • Mendelsohn, R and E Massetti [2017] The use of cross-sectional analysis to measure climate impacts on agriculture: Theory and evidence. Review of Environmental Economics and Policy, 11(2), 280–298. CrossrefGoogle Scholar
    • Ministry of Environment (2020). The climate change impact assessment report, (in Japanese: Kikouhendo Eikyo Hyoka Houkokusho), https://www.env.go.jp/press/108790.html. Google Scholar
    • Moretti, M, J Vanschoenwinkel and S Van Passel [2021] Accounting for externalities in cross-sectional economic models of climate change impacts. Ecological Economics, 185, 107058. CrossrefGoogle Scholar
    • Morita, S (2011). High-Temperature Stress on Rice and its Countermeasures: Mechanisms of Poor Ripening and How to Prevent it (in Japanese: Ine no Kouon Shogai to Taisaku; Toujuku Furyo no Shikumi to Fusegikata), Nousangyoson-bunka-kyokai. Google Scholar
    • Murata, Y [1964] On the influence of solar radiation and air temperature upon the local differences in the productivity of paddy rice in Japan. Japanese Journal of Crop Science, 33(1), 59–63 [in Japanese with English title and abstracts]. CrossrefGoogle Scholar
    • Nicita, L, G Cucuzza, M De Salvo, C Prato and G Signorello [2020] Spatial effects and endogeneity in a Ricardian model of climate change: An application to a Mediterranean region. Spatial Economic Analysis, 15(3), 219–237. CrossrefGoogle Scholar
    • Ohno, H, K Sasaki, G Ohara and K Nakazono [2016] Development of grid square air temperature and precipitation data compiled from observed, forecasted, and climatic normal data. Climate in Biosphere, 16, 71–79 [in Japanese with English title]. CrossrefGoogle Scholar
    • Okada, M, T Iizumi, Y Hayashi and M Yokozawa [2011] Projecting climate change impacts both on rice quality and yield in Japan. Journal of Agricultural Meteorology, 67(4), 285–295. CrossrefGoogle Scholar
    • Schlenker, W, WM Hanemann and AC Fisher [2006] The impact of global warming on U.S. agriculture: An econometric analysis of optimal growing conditions. The Review of Economics and Statistics, 88(1), 113–125. CrossrefGoogle Scholar
    • Shigeto, S, L Hubbard and P Dawson [2008] On farmland prices and rents in Japan. Agricultural Economics, 39(1), 103–109. CrossrefGoogle Scholar
    • Shiogama, H, R Ito, Y Imada, T Nakaegawa, N Hirota, NN Ishizaki, K Takahashi, I Takayabu and S Emori [2020] Selecting future climate projections of surface solar radiation in Japan. Scientific Online Letters on the Atmosphere, 16, 75–79. Google Scholar
    • Sugiura, T, H Sumida, S Yokoyama and H Ono [2012] Overview of recent effects of global warming on agricultural production in Japan. Japan Agricultural Research Quarterly, 46(1), 7–13. CrossrefGoogle Scholar
    • Sugiura, T, M Shiraishi, S Konno and A Sato [2018] Prediction of skin coloration of grape berries from air temperature. The Horticulture Journal, 87(1), 18–25. CrossrefGoogle Scholar
    • Vaitkeviciute, J, R Chakir and S Van Passel [2019] Climate variable choice in Ricardian studies of European agriculture. Revue Économique, 70(3), 375–402. CrossrefGoogle Scholar
    • Van Passel, S, E Massetti and R Mendelsohn [2017] A Ricardian analysis of the impact of climate change on European agriculture. Environmental & Resource Economics, 67, 725–760. CrossrefGoogle Scholar
    • Vanschoenwinkel, J, M Moretti and S Van Passel [2020] The effect of policy leveraging climate change adaptive capacity in agriculture. European Review of Agricultural Economics, 47(1), 138–156. Google Scholar
    • Wakamatsu, K, O Sasaki, I Uezono and A Tanaka [2007] Effects of high air temperature during the ripening period on the grain quality of rice in warm regions of Japan. Japanese Journal of Crop Science, 76(1), 71–78. CrossrefGoogle Scholar
    • Zhang, P, J Zhang and M Chen [2017] Economic impacts of climate change on agriculture: The importance of additional climatic variables other than temperature and precipitation. Journal Environmental Economics and Management, 83, 8–31. CrossrefGoogle Scholar
    Remember to check out the Most Cited Articles!

    Be inspired by these New titles in Energy, Resource & Environmental Economics today.
    Featuring authors from Princeton, Columbia University, Imperial College Business School and many more!