Economic development in low income settings is often associated with an expansion of higher-value agricultural activities. Since these activities often bring new risks, an understanding of cropland decisions and how these interact with shocks is valuable. This paper uses data from Mozambique to examine the effect of weather shocks on cropland decisions. We account for the bounded nature of land shares and estimate a Pooled Fractional Probit model for panel data. Our results show that crop choice is sensitive to past weather shocks.

This paper analyzes empirically the determinants of fuel choices and intensity of fuelwood use for residential heating and cooking in central-southern Chile.