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Coping Strategies in Response to Rising Food Prices: Evidence From India

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  • Tandon, Sharad
  • Landes, Maurice

Abstract

Food prices across the world rose dramatically between 2006 and 2008. The causes of the price rise were complex, and the event has led to heightened concerns regarding the implications of rising food prices on the prevalence of food insecurity and household welfare, particularly in developing countries. Given widespread and chronic malnutrition in India and the country’s large share of the world’s total food-insecure population, this report estimates how Indian households coped with the rise in domestic food prices that accompanied global price patterns in 2006-08. Exploiting differential spikes in rice and wheat prices, we find that households affected the most by rising food prices significantly decreased dietary diversity, delayed medical expenditures, and delayed purchases of clothing and durable goods. Given the existence of significant food and nonfood coping mechanisms, findings suggest that the rise in food staple prices in India had wide-ranging effects on household welfare.

Suggested Citation

  • Tandon, Sharad & Landes, Maurice, 2014. "Coping Strategies in Response to Rising Food Prices: Evidence From India," Economic Research Report 189793, United States Department of Agriculture, Economic Research Service.
    • Handle: RePEc:ags:uersrr:189793
    DOI: 10.22004/ag.econ.189793
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    Cited by:

    1. Negi, D., 2018. "Geography and the Welfare Impact of Food Price Shock," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277150, International Association of Agricultural Economists.
    2. Pierre-Emmanuel Darpeix, 2019. "Literature review on the consequences of food price spikes and price volatility," Working Papers hal-02072329, HAL.
    3. Vijay Laxmi Pandey & S. Mahendra Dev & Ranjeeta Mishra, 2019. "Pulses in eastern India: production barriers and consumption coping strategies," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 11(3), pages 609-622, June.
    4. Mousumi Das, 2021. "Vulnerability to Food Insecurity: A Decomposition Exercise for Rural India using the Expected Utility Approach," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 156(1), pages 167-199, July.
    5. Pierre-Emmanuel Darpeix, 2019. "Literature review on the consequences of food price spikes and price volatility," PSE Working Papers hal-02072329, HAL.
    6. Kanwal, Vinita & Sirohi, Smita & Chand, Prem & Thakur, Arti, 2021. "Drought, Hunger and Malnutrition: Spatial and Socio-Economic Variations in the Desert State of India," 2021 Conference, August 17-31, 2021, Virtual 315248, International Association of Agricultural Economists.

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    Keywords

    Agricultural and Food Policy; Consumer/Household Economics; Food Security and Poverty; International Development;
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