The economic resilience of farming systems to weather shocks and climate extremes
Climate change-induced increases in the magnitude and frequency of extreme hydro-meteorological events pose risks to the productivity and sustainability of farming systems. Resilience-enhancing strategies may enable farming systems to better cope to such threats.
A farming system’s resilience entails its ability to maintain both ecosystem and socio-economic functions during a shock.
This STSM, led by Guy Low (Agriculture and Food Business Management), will collaborate with the Department of Agricultural Economics at Kansas State University which is highly competent in weather risk management, climate change economics, and agricultural insurance.
This project will directly contribute to a pipeline of research papers that will assess the economic resilience of farming systems to weather shocks and climate extremes in Germany, the US, and worldwide. This STSM will thus also establish an intellectual link for future collaborations on farming system resilience under an uncertain future climate.
Announcement of a lecture on resilience in European agriculture by Guy Low at Kansas State University.
A monarch butterfly (Danaus plexippus) in the English Garden of Moore House, Kansas, on its migratory route to Mexico.
K-State Homecoming - Parade in Aggieville.
Meeting with the KSU-Maskot– Willie the Wildcat
Today’s climatic extremes – those rare and often severe deviations from the historical, normal weather of a given climate – are expected to increase in frequency, magnitude, and duration due to the onset of global climate change over the coming decades, according to the most recent, 6th Intergovernmental Panel on Climate Change Assessment Report (2021). The implications of worsening climatic extremes on the agricultural sector, such as droughts, waterlogging, and heatwaves, are generally well understood. Nevertheless, there remains a great deal of uncertainty concerning the vulnerability of European agricultural production to an array of future extreme climate events and scenarios.
However, recent and relevant literature on the impacts of climatic extremes on European crop farms performance have generally only considered specific countries; very few others have a pan-European outlook. Moreover, these have tended to focus exclusively on the impacts of extremes on single outcome measures of performance, namely crop yields – and less so on other, important productivity or monetary measures. Thirdly, most research has estimated the historical impact of climatic extremes in terms of only the expected impact and variance, thereby insufficiently examining the shape of outcome distributions through higher-order moments – with the consequence that a comparative assessment of outcome distributions between a historical baseline and future climate scenarios has not been done. Lastly, there are a lack of sensitivities between modelling approaches for assessing the impacts of climate extremes.
Thus, this STSM project was conceived with the overarching aim of addressing the above issues by drawing on collaboration with and the expertise of the Department of Agricultural Economics at Kansas State University, USA. The department is highly competent in weather risk management, climate change economics, and agricultural insurance. In particular, this STSM project sought after methodological advances in estimating outcome density distributions from historical weather data and recovering mean, variance, skewness, and kurtosis parameters for several farm-level performance indicators (yields of key European crops; farm revenues; and farm productivity). This is then extended, according to climate models, to simulate climate-shifted outcome distributions. Moreover, this project is also able to make use of preeminent European data sources: the EU Farm Accountancy Data Network for farm economic data; and ERA5 weather data from the Copernicus Weather Service.
While immediate results are still in the process of being produced, the contributions of this research are manifold. It is amongst the few to comprehensively evaluate the economic risk posed by past, present, and future climate regimes across Europe at the farm-level; and at a finer scale hitherto unutilised. Uniquely, since it recovers the higher-moments of the outcome distributions, the research sheds greater light on the economic impact of tail-events (i.e., those most negatively extreme). These results will be presented at the Agricultural Economic Society (AES) conference in March 2026, and is leading towards a scientific manuscript aimed to be submitted at a relevant Q1 journal this year. In the longer-term, a pipeline of papers is envisioned that will extend the current findings. Foremost amongst these is planned research to expand on the mechanisms of farm resilience to climate extremes; what enhances farm resilience to climate change, be it economic or environmental policy interventions, diversification, or landscape composition.
This STSM has offered a unique opportunity for intercontinental collaboration, and the establishment of mutually beneficial academic and scientific links. Besides the methodological collaboration, embedding with Kansas State University also fostered scientific exchange – several seminars were organised during the month, including a short lecture that I had given to the department. It also animated both academic and cultural discussions around work and social culture, the state of academia for younger researchers, and opportunities for future employment and of collaboration.
The STSM was, overall, an excellent experience that was well-organised by the Competence Centre Landscape Resilience. The application process was smooth and transparent, and the funding provided for the specified aims was sufficient (and the costs were overestimated). The aims set out by the proposal are well on their way to being reached.
Guy Low Short-Term Scientific Missions
2025The economic resilience of farming systems to weather shocks and climate extremes
Germany and the USA in international comparison
Impressions
Photos: Guy Low
Results & Reflection
Background and Research Approach
Role of the Short-Term Scientific Mission
Scientific Exchange & Integration
Organization, Framework Conditions & Outlook
Highlights
Kontakt:
E-Mail: guy.low@uni-goettingen.de
Phone: +49-551-39-27985