Climate Change and Labour Allocation in Rural Mexico: Evidence from Annual Fluctuations in Weather

32 Pages Posted: 8 Feb 2018

See all articles by Katrina Jessoe

Katrina Jessoe

University of California, Davis - Department of Agricultural and Resource Economics

Dale Manning

University of California at Davis - Department of Agricultural and Resource Economics

J. Edward Taylor

University of California, Davis - Department of Agricultural and Resource Economics

Date Written: February 2018

Abstract

This article evaluates the effects of annual fluctuations in weather on employment in rural Mexico to gain insight into the potential labour market implications of climate change. Using a 28‐year panel on individual employment, we find that years with a high occurrence of heat lead to a reduction in local employment, particularly for wage work and non‐farm labour. Extreme heat also increases migration domestically from rural to urban areas and internationally to the US. A medium emissions scenario implies that increases in extreme heat may decrease local employment by up to 1.4% and climate change may increase migration by 1.4%.

Suggested Citation

Jessoe, Katrina and Manning, Dale and Taylor, J. Edward, Climate Change and Labour Allocation in Rural Mexico: Evidence from Annual Fluctuations in Weather (February 2018). The Economic Journal, Vol. 128, Issue 608, pp. 230-261, 2018, Available at SSRN: https://ssrn.com/abstract=3119336 or http://dx.doi.org/10.1111/ecoj.12448

Katrina Jessoe (Contact Author)

University of California, Davis - Department of Agricultural and Resource Economics ( email )

United States

HOME PAGE: http://kkjessoe.ucdavis.edu/

Dale Manning

University of California at Davis - Department of Agricultural and Resource Economics ( email )

Apt 153

J. Edward Taylor

University of California, Davis - Department of Agricultural and Resource Economics ( email )

One Shields Avenue
Davis, CA 95616
United States
530-752-0213 (Phone)
530-752-5614 (Fax)

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