Conclusions and policy implications

Abstract

Climate change has become undisputable. It imposes formidable risks to the economic prospects of low-income countries where agriculture plays crucial role in employment, income, food supply, and export earnings. Ethiopia is one of such countries where agriculture is the engine of economic growth, and the main source of livelihood, export earnings, and food supply. However, agriculture in Ethiopia is still traditional, virtually rain-fed, and dominated by smallholder peasants that use the majority of their output for own subsistence consumption.