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The impacts of the food, fuel and financial crises on households in Nigeria. A retrospective approach for research enquiry

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  • Niño-Zarazúa, Miguel
  • Chiripanhura, Blessing

Abstract

This paper examines the impacts of the financial, food and fuel crises on the livelihoods of low-income households Nigeria. It uses primary household level data from Nigeria to analyse the impacts of induced price variability on household welfare. Our results indicate that aggregate shocks have significant adverse effects on household consumption, human capital, and labour decisions with a degree of impact variability between northern and southern regions of the country. We find that the coping strategies adopted by the poor to deal with the short-term effects of the crises, and which include substitution for lower quality food, increasing the intensity of work, withdrawing children from school – especially girls – and engaging children in child labour, can lock households in a low-income equilibrium or poverty trap. Provided that covariate shocks exacerbate these effects, tackling the effects of covariate risks becomes central for present and future development policy.

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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 47348.

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Date of creation: 29 May 2013
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Handle: RePEc:pra:mprapa:47348

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Keywords: food; fuel; financial crisis; poverty; vulnerability; sub-Saharan Africa; Nigeria;

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  1. Xiaoguang Chen & Haixiao Huang & Madhu Khanna & Hayri Önal, 2011. "Meeting the Mandate for Biofuels: Implications for Land Use, Food and Fuel Prices," NBER Working Papers 16697, National Bureau of Economic Research, Inc.
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  11. NAKATA Hiroyuki & SAWADA Yasuyuki & TANAKA Mari, 2010. "Asking Retrospective Questions in Household Surveys: Evidence from Vietnam," Discussion papers 10008, Research Institute of Economy, Trade and Industry (RIETI).
  12. Barnard, Jerald R., 1983. "Gasohol/Ethanol: A Review of National and Regional Policy and Feasibility Issues," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 13(2).
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