Mitigating Droughts and Floods in Agriculture
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Mitigating Droughts and Floods in Agriculture

Policy Lessons and Approaches

Climate change is expected to increase the frequency and magnitude of extreme weather events, notably of droughts and floods to which the agriculture sector is particularly exposed. While agricultural productivity growth and policy development have allowed to better cope with these risks and reduce overall impacts on the sector and commodity markets, there is substantial room to improve policy responses and co-ordinate across policy domains, including with respect to water rights and allocation, weather and hydrological information, innovation and education, and insurance and compensation schemes. Indeed, drought and flood risks are likely to become a major policy concern as increasing population will increase the demand for food, feed, fibre, and energy, not to mention the competition for water resources, and urbanisation will increase the demand for flood protection and mitigation, raising the issue of the allocation of flood risks across sectors and areas.

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The economics of droughts and floods in agriculture You do not have access to this content

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Author(s):
OECD

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This chapter presents and analyses market failures related to water-related risks and their implications for public policies. It also presents the main policy and market drivers that affect the vulnerability of agriculture to droughts and floods.

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