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Boiling Hot! Economy-Wide Impacts of Climate Change on Colombian Coffee Yields

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The Colombian Economy and Its Regional Structural Challenges

Abstract

This chapter quantifies the effects of climate shocks on coffee yields within the ICGE framework. Although macro-results tend to be relatively small, they are very heterogeneous among sectors and regions. Even though the climate shock initially affects areas where coffee is grown, the most positively affected sector in the new equilibrium is coffee processing due to its interindustry chaining in the Colombian. Elevation plays a significant role in this simulation: Lower regions may become unsuitable for coffee, whereas Andean regions will potentially experience a sharp increase in productivity for this crop. The chapter concludes with a discussion of the implications of these results for current producing regions, especially in terms of their labor force.

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Notes

  1. 1.

    A laboratory in the Earth Sciences Division of the Goddard Space Flight Center from the North American Space Agency (NASA) affiliated with the Columbia University Earth.

  2. 2.

    Cook et al. (2016) and Myers et al. (2021).

  3. 3.

    Further details regarding internal production and dynamics of Colombian coffee industry, as well as input–output exercises and value-added analysis are thoroughly covered in Chaps. 9 and 10.

  4. 4.

    Data visualization tool built at the Harvard Kennedy School of Government powered by Harvard Growth Lab that allows users to explore global trade flows across markets and track these dynamics over time.

  5. 5.

    Organization whose primary goal is to conduct scientific research on climate change and inform the public of its key findings in order to provide decision-makers with adequate information on how to counter the coming hindrances of such phenomenon and aid them by prescribing policies to avoid those hardships.

  6. 6.

    GHG concentration trajectories adopted by the Intergovernmental Panel on Climate Change (IPCC).

  7. 7.

    Climate model composed of a mathematical algorithm simulating the general circulation of planetary atmosphere or ocean.

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Correspondence to Pedro Levy Sayon .

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Sayon, P.L., Otero-Cortés, A., Ceballos-Sierra, F., Haddad, E.A. (2023). Boiling Hot! Economy-Wide Impacts of Climate Change on Colombian Coffee Yields. In: Haddad, E.A., Bonet, J., Hewings, G.J.D. (eds) The Colombian Economy and Its Regional Structural Challenges. Advances in Spatial Science. Springer, Cham. https://doi.org/10.1007/978-3-031-22653-3_13

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