Wars, foodcost and countervailing policies: A panel data approach
Withholding food or providing it during a conflict is vital for peace missions and challenges for building sustainable peace. The purpose of this paper is to introduce a new perspective in considering the impact of wars on relative wages in the food sector. We define the foodcost as the share of wages paid to the food sector versus total manufacturing wages. We try to estimate the effect of two types of wars (namely, civil and international wars) on the foodcost and explore the policies that are likely to reduce that cost. We use panel data for 41 countries from 1960 to 1999 to answer these questions. The empirical results show that civil wars positively affect the foodcost, while international wars apparently do not. The policy implication of this analysis is that, in the event of a civil war, policy-makers lack the resources to exert control on a rising foodcost. A rise in the foodcost could be translated into higher food prices or lower purchasing power over food, either of which may have devastating impacts on social and economic well-being. In the event of an international war, as opposed to a civil war, governments have a greater capacity to prioritize and mobilize resources. Therefore, the impact of an international war on the foodcost is positive but weak. The foreign aid remains an effective countervailing tool for reducing the increase in the foodcost.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Paolo Figini & Holger Go¨rg, 2011.
"Does Foreign Direct Investment Affect Wage Inequality? An Empirical Investigation,"
The World Economy,
Wiley Blackwell, vol. 34(9), pages 1455-1475, 09.
- Figini, Paolo & Görg, Holger, 2006. "Does Foreign Direct Investment Affect Wage Inequality? An Empirical Investigation," IZA Discussion Papers 2336, Institute for the Study of Labor (IZA).
- Paolo Figini & Holger Görg, 2007. "Does foreign direct investment affect wage inequality? An empirical investigation," The Institute for International Integration Studies Discussion Paper Series iiisdp186, IIIS.
- Handy Williamson, 2001. "Globalization and Poverty: Lessons from the Theory and Practice of Food Security: Discussion," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 83(3), pages 730-732.
- James K. Galbraith & Hyunsub Kum, 2003. "Inequality and Economic Growth: A Global View Based on Measures of Pay," CESifo Economic Studies, CESifo, vol. 49(4), pages 527-556.
- Singer, H. W., 1989. "The African food crisis and the role of food aid," Food Policy, Elsevier, vol. 14(3), pages 196-206, August.
- Paul Collier & Anke Hoeffler, 2000. "Greed and Grievance in Civil War," CSAE Working Paper Series 2000-18, Centre for the Study of African Economies, University of Oxford.
- Amartya Sen, 1981. "Ingredients of Famine Analysis: Availability and Entitlements," The Quarterly Journal of Economics, Oxford University Press, vol. 96(3), pages 433-464.
- Cameron,A. Colin & Trivedi,Pravin K., 2005. "Microeconometrics," Cambridge Books, Cambridge University Press, number 9780521848053, January.
- Food Security Unit, 1992. "Understanding famine in Africa," Food Policy, Elsevier, vol. 17(1), pages 83-86, February.
- Paul Collier & Anke Hoeffler, 2004. "Greed and grievance in civil war," Oxford Economic Papers, Oxford University Press, vol. 56(4), pages 563-595, October.
- Collier, Paul & Hoeffler, Anke, 2000. "Greed and grievance in civil war," Policy Research Working Paper Series 2355, The World Bank.
- Paul Collier & Anke Hoeffler, 2004. "Greed and Grievance in Civil War," Development and Comp Systems 0409007, EconWPA.
- Daymon, Caroline & Gimet, Celine, 2009. "An empirical test of the inequality trap concept," Economics Letters, Elsevier, vol. 105(2), pages 165-167, November.
- Paul Collier & V. L. Elliott & Håvard Hegre & Anke Hoeffler & Marta Reynal-Querol & Nicholas Sambanis, 2003. "Breaking the Conflict Trap : Civil War and Development Policy," World Bank Publications, The World Bank, number 13938, May.
- Jurgen Brauer, 2007. "Data, Models, Coefficients: The Case of United States Military Expenditure," Conflict Management and Peace Science, Peace Science Society (International), vol. 24(1), pages 55-64, February.
- del Ninno, Carlo & Dorosh, Paul A. & Subbarao, Kalanidhi, 2007. "Food aid, domestic policy and food security: Contrasting experiences from South Asia and sub-Saharan Africa," Food Policy, Elsevier, vol. 32(4), pages 413-435, August. Full references (including those not matched with items on IDEAS)
When requesting a correction, please mention this item's handle: RePEc:eee:jfpoli:v:35:y:2010:i:5:p:378-390. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Dana Niculescu)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.