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Analyzing Nutritional Impacts of Price and Income Related Shocks in Malawi and Uganda

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Author Info

  • Kenneth Harttgen

    ()
    (Department of Economics, University of Göttingen)

  • Stephan Klasen

    ()
    (Department of Economics, University of Göttingen)

Abstract

The recent food price crisis and the following global economic recession have led to large increase in the number of people to suffer from hunger. While the impacts can be measured with precision ex post, for policy-makers it is critical to get a sense of likely impacts ex ante to plan approaches to mitigate these impacts. In this paper we adopt a very simple simulation approach to analyze how changes in prices of specific food groups such as maize prices or prices for staple food as well as how negative short-term income shocks on household affect the calorie consumption of individuals and how these changes affect food poverty. We illustrate our approach using household survey data from Malawi and Uganda. We find that food poverty is of particular concern in Malawi and Uganda and we find large variations within countries in food poverty. We find that price shocks for staple foods have a very large impact on food security in both countries while the impact of income shocks is considerably smaller. Moreover, we find that the food security impacts of price shocks are substantially larger in Malawi than Uganda as people in this country rely much more on staple foods for their caloric consumption. This paper demonstrates that it is possible to estimate food security impact of price and income shocks ex ante in a relatively straightforward fashion that can be done relatively quickly for cross-country assessments of the likely impacts of shocks on food security.

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Bibliographic Info

Paper provided by United Nations Development Programme, Regional Bureau for Africa (UNDP/RBA) in its series Working Papers with number 2012-014.

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Length: 46 pages
Date of creation: Feb 2012
Date of revision:
Handle: RePEc:rac:wpaper:2012-014

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Related research

Keywords: Economic recession; huger; food poverty; food security; income shock. Malawi; Uganda;

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References

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  1. Foster, James & Greer, Joel & Thorbecke, Erik, 1984. "A Class of Decomposable Poverty Measures," Econometrica, Econometric Society, vol. 52(3), pages 761-66, May.
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  11. Strauss, John, 1984. "Joint determination of food consumption and production in rural Sierra Leone : Estimates of a household-firm model," Journal of Development Economics, Elsevier, vol. 14(1), pages 77-103.
  12. Emmanuel Skoufias & Vincenzo Di Maro & Teresa González-Cossío & Sonia Rodríguez Ramírez, 2009. "Nutrient consumption and household income in rural Mexico," Agricultural Economics, International Association of Agricultural Economists, vol. 40(6), pages 657-675, November.
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  15. Dreze, Jean & Sen, Amartya, 1991. "Hunger and Public Action," OUP Catalogue, Oxford University Press, number 9780198283652, October.
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Cited by:
  1. Sonia, Akter & Syed Abul, Basher, 2013. "The impacts of the global food and financial crises on household food security and economic well-being: evidence from Bangladesh," MPRA Paper 47859, University Library of Munich, Germany.

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