Gone with the Storm: Rainfall Shocks and Household Wellbeing in Guatemala

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dc.description.abstract We investigate the consequences of Agatha –a major tropical storm that hit Guatemala in 2010 and dropped the largest rainfall in the country since records exist– on household welfare and whether affected households engaged in sub-optimal strategies to confront the shock. We find that overall per capita consumption fell on average by 5.5% among affected households, driven mostly by a reduction of consumption among urban households (12%) that raised poverty by 5.5 percentage points (18% increase with respect to baseline). Expenditures in food and durables in affected households in urban areas fell by 10% and 80%, respectively, one year after the disaster. In contrast, rural households smoothed consumption by withdrawing children from school and relying on their labor force. The concentration of the effects in urban centers is partly explained by relatively larger rainfall brought about by the storm in these areas compared to the precipitation recorded in rural villages. The negative effects on household welfare caused by Agatha are robust to different samples, definitions of the shock and “fake” treatments and account for around 20% of the increase in monetary poverty experienced by Guatemala between 2006 and 2011. en
dc.title Gone with the Storm: Rainfall Shocks and Household Wellbeing in Guatemala en
dc.contributor.author Baez, Javier E.
dc.contributor.author Genoni, Maria E.
dc.contributor.author Lucchetti, Leonardo
dc.contributor.author Salazar, Mateo
dc.date.accessioned 2018-02-26T17:58:35Z
dc.date.available 2018-02-26T17:58:35Z
dc.date.issued 2018-02-26
dc.identifier.uri http://lacer.lacea.org/handle/123456789/64815
lacea.language.supported en
dc.description Working paper
dc.language.iso en
dc.subject Natural Disasters
dc.subject Consumption
dc.subject Poverty
dc.subject Human Capital
dc.type Working Paper

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