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Long-term impacts of an unanticipated spike in food prices on child growth in Indonesia

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  • Yamauchi, Futoshi
  • Larson, Donald F.

Abstract

Unanticipated spikes in food prices can increase malnutrition among the poor, with lasting consequences; however, livelihood strategies that include producing food for home consumption are expected to offer a measure of protection. To test this, we use anthropometric and consumption data from Indonesia collected before and after the 2007/08 food price crisis. Based on standardized height and weight measures, our results indicate that soaring food prices had a significant and negative impact on child growth among households that did not produce food for home consumption. A corresponding effect was undetectable for the households that did. The results remain robust when income effects from increased commercial sales, and possible attritions through migration and fostering are considered. Further, local food price changes were uncorrelated with the share of producing-households in the village and village’s initial average child nutrition status, suggesting that observed outcomes are directly attributable to market events and livelihood strategies. Gender differences were not detected. Our findings imply that the food price crises can have negative impacts on children, potentially leading to lifelong disadvantages. Livelihood choices that include food production provide protection against price hikes but may trap households on low income paths.

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  • Yamauchi, Futoshi & Larson, Donald F., 2019. "Long-term impacts of an unanticipated spike in food prices on child growth in Indonesia," World Development, Elsevier, vol. 113(C), pages 330-343.
  • Handle: RePEc:eee:wdevel:v:113:y:2019:i:c:p:330-343
    DOI: 10.1016/j.worlddev.2018.09.017
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    More about this item

    Keywords

    Food price crisis; Child growth; Human capital; Safety nets; Indonesia;
    All these keywords.

    JEL classification:

    • Q11 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Aggregate Supply and Demand Analysis; Prices
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

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