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strategies involve forgoing potential advantage from positive
climatic events to reduce the risk of disaster.
For most areas of the world, ex post strategies have limited
value or are very costly. For example, U.S. citrus growers
occasionally use grove heaters or, more frequently, spray trees
with water to avoid the consequences of frost (Miller, 1988).
African herders who experience adverse climate outcomes respond by
migration, even making extraordinary movements under severe drought
stress, including leaving the pastoral system until the
perturbation passes (Coughenour et al., 1985; Ellis et al., 1987;
Galvin, 1992).
Many of the ex ante production techniques listed in the table
are common across many societies around the world. An example is
hedging strategies to spread the risk of extremely negative
climatic events. African pastoralists spatially separate their
herds, and Indian farmers use diversified seed types and farm on
multiple plots. Similarly, in the Great Plains of the United
States, many farmers incorporate drought-resistant but low-profit
grain sorghum with their drought-susceptible but highprofit
corn-soybean rotations in anticipation of the adverse consequences
of drought for their incomes. And both U.S. and African farm
households are characterized by diversified occupational
portfolios, with family members engaged in both agricultural and
nonagricultural activities. The worldwide pervasiveness of such ex
ante hedging strategies for both production and consumption
suggests that the cost-effectiveness of ex post strategies is
limited in most societies and that insurancean alternative ex
ante strategyis either incomplete or more costly than the
other ex ante strategies.
The size and distribution of the impacts of climatic variability
depend strongly on the array of coping strategies available to and
employed by agricultural producers. These in turn vary according to
agroclimatic conditions and the structure of markets and other
institutions. Groups facing the same climatic variability are more
or less vulnerable to extreme negative climatic events depending on
their ability to make use of particular coping strategies and
methods. For example, low-income farmers in developing countries,
who comprise a large proportion of the world population, are less
able than their wealthier neighbors to accumulate assets while
meeting minimum subsistence requirements; such poor farmers are
thus less able to maintain their consumption by drawing from their
savings levels when they experience particularly low levels of
rainfall (Rosenzweig and Wolpin, 1993). Since many of these
countries lack developed insurance markets, an inability to
accumulate assets in anticipation of bad years makes poor farmers
especially vulnerable. Because of their great vulnerability, the
poor in less developed countries may benefit