Job Displacement and Reallocation Failure
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World Bank, Washington, DC
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This paper investigates the effects
of severe drought shocks in Morocco’s agriculture sector.
Using a staggered difference-in-differences design, the
estimates show that climatic shocks produced job
displacement of about 6.5 percentage points for workers who
were exposed to severe drought events. Overall, about 45
percent of these workers remained unemployed, generating a
partial reallocation failure. The effects are significant
only for severe and extreme shocks; they last for at least
five years, and are more pronounced among females and the
least educated workers.
Palabras clave
DROUGHT, CLIMATE CHANGE, JOB DISPLACEMENT, SPEI, UNEMPLOYMENT
