role of negative agricultural shocks is ambiguous. We investigate the impact of the massive epidemic of coffee leaf rust … coffee production. We exploit the gradual diffusion of the epidemic and estimate a difference-in-difference model. We find … driven by municipalities with low coffee yields, characterizing shade coffee systems, and states where rustic coffee systems …

income and repayment. Using a novel administrative data set with the near universe of formal loans to coffee producers in … Colombia together with data from close to 1,200 rainfall stations, I show that transitory weather shocks lead to lower rates of …