@article{Sung:330744,
      recid = {330744},
      author = {Sung, Jaehoon},
      title = {The Economic Effects of Droughts: Focused on Rice  Production},
      journal = {Journal of Rural Development/Nongchon-Gyeongje},
      address = {2018-09-30},
      number = {1071-2023-432},
      month = {Sep},
      year = {2018},
      abstract = {We analyzed the effects of drought on rice production and  its economic effects. The results show that rice yields  decrease by 3.0% (0.7%) when the number of days of “very  severe” (“severe”) drought increases by one. However, we  also found that the effects of drought decreased  continuously from 2011 to 2015. Specifically, even though  the drought in 2015 was more severe than the drought in  2011, the marginal effect of drought on rice yield in 2011  (-0.08%) was larger than that in 2015 (-0.02%). This result  reflects the effects of the enhancement of agricultural  technologies and the adaptive capacity to drought. An  analysis of a regional input-output table shows that the  economic losses due to “severe” or “very severe” drought  were about 27.6 billion KRW in 2011, 1.1 billion KRW in  2012 and 2014, and 13.2 billion KRW in 2015. Also, we found  that the negative economic effects of drought would spread  over nearby provinces due to economic linkages among  provinces. For example, when crop production in Incheon  decreases by 1% due to drought, the total production of  Seoul and Gyeonggi province decreases by 0.08% and 0.06%  respectively.},
      url = {http://ageconsearch.umn.edu/record/330744},
      doi = {https://doi.org/10.22004/ag.econ.330744},
}