ARTICLE | doi:10.20944/preprints201904.0272.v1
Subject: Earth Sciences, Environmental Sciences Keywords: Coffee Output; Climate Change; Commodity Price Volatility; GARCH; ARCH; FMOLS
Online: 24 April 2019 (12:40:21 CEST)
Empirical evidence is lacking on the nexus between coffee commodity output, climate change and commodity price volatility of Africa’s most populous country, Nigeria and other developing countries. To fill this gap, this study analyzed the reaction of coffee output to climate change and commodity price volatility. We used secondary data from 1961 to 2015 from reliable sources for Nigeria. The study adopted GARCH, ARCH and FMOLS in analysis of coffee output reaction to climate change and commodity price volatility. The findings show that coffee output in Nigeria is influenced by climate change and the international commodity price of coffee. The study demonstrates the potential benefits of improving coffee output and export through climate mitigation and adaptation measures and revival of Agricultural Commodity Marketing in Nigeria and other developing countries.