IDEAS home Printed from https://ideas.repec.org/a/eee/jfpoli/v85y2019icp40-54.html
   My bibliography  Save this article

The impact of maize price shocks on household food security: Panel evidence from Tanzania

Author

Listed:
  • Rudolf, Robert

Abstract

Using three waves (2008/09, 2010/11, 2012/13) of the Tanzanian National Panel Survey, this study investigates the impact of maize price shocks on household food security. Between 2008/09 and 2012/13, calorie intake stagnated for urban households, yet sharply deteriorated for rural households. The latter was driven by a significant decline in the consumption of the major staple maize which showed strongest price hikes among all major food items. Fixed-effects regressions indicate a clear negative relationship between maize prices and average household energy intake. Almost all population groups were found to be negatively affected by maize price shocks, with rural landless households being the most vulnerable group. In particular, a 50 percent rise in maize prices decreases caloric intake for rural (urban) households on average by 4.4 (5.4) percent, and for rural landless households by 12.6 percent. Results further indicate that subsistence agriculture can act as an effective strategy to insure against food price volatility.

Suggested Citation

  • Rudolf, Robert, 2019. "The impact of maize price shocks on household food security: Panel evidence from Tanzania," Food Policy, Elsevier, vol. 85(C), pages 40-54.
  • Handle: RePEc:eee:jfpoli:v:85:y:2019:i:c:p:40-54
    DOI: 10.1016/j.foodpol.2019.04.005
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0306919218303191
    Download Restriction: Full text for ScienceDirect subscribers only

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Pauw, Karl & Thurlow, James, 2011. "Agricultural growth, poverty, and nutrition in Tanzania," Food Policy, Elsevier, vol. 36(6), pages 795-804.
    2. Derek D. Headey & William J. Martin, 2016. "The Impact of Food Prices on Poverty and Food Security," Annual Review of Resource Economics, Annual Reviews, vol. 8(1), pages 329-351, October.
    3. Abdulai, Awudu & Aubert, Dominique, 2004. "Nonparametric and parametric analysis of calorie consumption in Tanzania," Food Policy, Elsevier, vol. 29(2), pages 113-129, April.
    4. Harttgen, Kenneth & Klasen, Stephan & Rischke, Ramona, 2016. "Analyzing nutritional impacts of price and income related shocks in Malawi: Simulating household entitlements to food," Food Policy, Elsevier, vol. 60(C), pages 31-43.
    5. Maros Ivanic & Will Martin, 2008. "Implications of higher global food prices for poverty in low‐income countries1," Agricultural Economics, International Association of Agricultural Economists, vol. 39(s1), pages 405-416, November.
    6. Colen, L. & Melo, P.C. & Abdul-Salam, Y. & Roberts, D. & Mary, S. & Gomez Y Paloma, S., 2018. "Income elasticities for food, calories and nutrients across Africa: A meta-analysis," Food Policy, Elsevier, vol. 77(C), pages 116-132.
    7. Milton Friedman, 1957. "Introduction to "A Theory of the Consumption Function"," NBER Chapters, in: A Theory of the Consumption Function, pages 1-6, National Bureau of Economic Research, Inc.
    8. Ivanic, Maros & Martin, Will & Zaman, Hassan, 2012. "Estimating the Short-Run Poverty Impacts of the 2010–11 Surge in Food Prices," World Development, Elsevier, vol. 40(11), pages 2302-2317.
    9. Kumar, Neha & Quisumbing, Agnes R., 2013. "Gendered impacts of the 2007–2008 food price crisis: Evidence using panel data from rural Ethiopia," Food Policy, Elsevier, vol. 38(C), pages 11-22.
    10. Smith, Lisa C. & Subandoro, Ali, 2007. "Measuring food security using household expenditure surveys:," Food security in practice technical guide series 3, International Food Policy Research Institute (IFPRI).
    11. Anríquez, Gustavo & Daidone, Silvio & Mane, Erdgin, 2013. "Rising food prices and undernourishment: A cross-country inquiry," Food Policy, Elsevier, vol. 38(C), pages 190-202.
    12. Stephan Klasen & Jan Priebe & Robert Rudolf, 2013. "Cash crop choice and income dynamics in rural areas: evidence for post-crisis Indonesia," Agricultural Economics, International Association of Agricultural Economists, vol. 44(3), pages 349-364, May.
    13. Milton Friedman, 1957. "A Theory of the Consumption Function," NBER Books, National Bureau of Economic Research, Inc, number frie57-1, June.
    14. Arndt, Channing & Benfica, Rui & Maximiano, Nelson & Nucifora, Antonio M.D. & Thurlow, James, 2008. "Higher fuel and food prices: Economic impacts and responses for Mozambique," IFPRI discussion papers 836, International Food Policy Research Institute (IFPRI).
    15. Ecker, Olivier & Qaim, Matin, 2010. "Analyzing nutritional impacts of policies: An empirical study for Malawi," IFPRI discussion papers 1017, International Food Policy Research Institute (IFPRI).
    16. Levin, Jörgen & Vimefall, Elin, 2015. "Welfare impact of higher maize prices when allowing for heterogeneous price increases," Food Policy, Elsevier, vol. 57(C), pages 1-12.
    17. Ivanic, Maros & Martin, Will, 2008. "Implications of higher global food prices for poverty in low-income countries," Policy Research Working Paper Series 4594, The World Bank.
    18. Marcel Fafchamps, 1992. "Cash Crop Production, Food Price Volatility, and Rural Market Integration in the Third World," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 74(1), pages 90-99.
    19. Channing Arndt & Rui Benfica & Nelson Maximiano & Antonio M. D. Nucifora & James T. Thurlow, 2008. "Higher fuel and food prices: impacts and responses for Mozambique," Agricultural Economics, International Association of Agricultural Economists, vol. 39(s1), pages 497-511, November.
    20. Rafael E. de Hoyos & Denis Medvedev, 2011. "Poverty Effects of Higher Food Prices: A Global Perspective," Review of Development Economics, Wiley Blackwell, vol. 15(3), pages 387-402, August.
    21. Guillaume Pierre & Karl Pauw & Emiliano Magrini, 2018. "The effect of the National Food Reserve Agency on maize market prices in Tanzania," Review of Development Economics, Wiley Blackwell, vol. 22(2), pages 540-557, May.
    22. Pauw, Karl & Ecker, Olivier & Mazunda, John, 2011. "Agricultural growth, poverty, and nutrition linkages in Malawi," MaSSP policy notes 8, International Food Policy Research Institute (IFPRI).
    23. Chapoto, Antony & Jayne, Thomas S., 2009. "The Impacts of Trade Barriers and Market Interventions on Maize Price Predictability: Evidence from Eastern and Southern Africa," Food Security International Development Working Papers 56798, Michigan State University, Department of Agricultural, Food, and Resource Economics.
    24. Ecker, Olivier & Qaim, Matin, 2011. "Analyzing Nutritional Impacts of Policies: An Empirical Study for Malawi," World Development, Elsevier, vol. 39(3), pages 412-428, March.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Food price shock; Food security; Subsistence agriculture; Maize; Panel data; Africa;

    JEL classification:

    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jfpoli:v:85:y:2019:i:c:p:40-54. 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: (Haili He). General contact details of provider: http://www.elsevier.com/locate/foodpol .

    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 CitEc recognized a reference but did not link an item in RePEc 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 RePEc Author Service 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.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.