Replication of Amare et al. (2018) β Rainfall Shocks and Agricultural Productivity, Nigeria LSMS-ISA Panel Data
# Replication: Amare et al. (2018)
## Rainfall Shocks and Agricultural Productivity:
## Implications for Rural Household Consumption
---
## π Paper Reference
Amare, M., Mariara, J., Larsens, R., & Passarelli, S. (2018).
Rainfall shocks and agricultural productivity: Implication for
rural household consumption.
*Agricultural Systems*, 166, 79β89.
doi.org
**Replication by:** Shamas Liaqat
**Institution:** University of Agriculture Faisalabad
**Date:** March 2026
**Language:** Python 3.12
---
## π Project Overview
This repository contains a partial replication of Amare et al.
(2018), which studies how rainfall shocks affect agricultural
productivity and household consumption in rural Nigeria using
three waves of World Bank LSMS-ISA panel data.
### What I Replicate
- Panel dataset construction from 3 survey waves (2010/2012/2015)
- Rainfall shock calculation using georeferenced GPS data
- Household and time fixed effects regression
- Asset-based heterogeneity analysis (poor vs. non-poor)
- Regional heterogeneity analysis (North vs. South Nigeria)
### What I Do Not Replicate (and Why)
The paper's main specification uses a full IV-FE model where
agricultural productivity is the endogenous variable instrumented
by rainfall shock. I run the **reduced form** specification
(rainfall shock directly on consumption) for the following reason:
Wave 1 (2010) and Wave 2 (2012) of the Nigeria GHS survey have
severe crop value data limitations β only 1.1% of crop harvest
observations have usable monetary values. This is a known
limitation of early Nigeria GHS survey design, corrected in
Wave 3 (2015) which has 85.6% coverage. Without reliable
crop values across all three waves, constructing a consistent
panel measure of agricultural productivity is not feasible
without strong assumptions.
I document this limitation transparently rather than imputing
unreliable productivity estimates.
---
## π Main Results
| Model | Ξ² | SE | Sig | N |
|- β¦