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Food consumption among income classes and its response to changes in income distribution in rural China

Author

Listed:
  • Yanjun Ren
  • Yanjie Zhang
  • Jens-Peter Loy
  • Thomas Glauben

Abstract

Purpose - Given the fact that the income disparity has become extremely severe in rural China, the purpose of this paper is to examine heterogeneity in food consumption among various income classes and to investigate the impact of changes in income distribution patterns on food demand in rural China. Design/methodology/approach - In this study, the authors partition the households into five income classes according to the distribution of household per capita net income. Using household data drawn from the China Health and Nutrition Survey in 2011, a two-stage demand model is applied to estimate a food demand system for each of the income classes. After obtaining the estimated income elasticities of eight studied food groups for each income class, the authors then examine the responsiveness of food demand to the changes in income distribution by means of four scenarios with varying income distribution. Findings - The empirical results indicate that substantial differences in food consumption exist across various income classes. Specifically, the lowest-income households are more sensitive to price and income changes for most studied food groups than the highest-income households are. In general, income responsiveness is higher for meats, aquatic products and dairy products. Based on estimated income elasticities, the projected food consumption under different income distribution patterns shows that changes in income distribution have significant influences on food consumption. In addition, the authors conclude that a more equal distribution of income would be associated with a higher demand for food in rural China. Originality/value - This paper employs a two-stage demand model to estimate food demand in rural China by income classes. The results imply substantial differences in food demand for various income classes. Therefore, income distribution should be taken into account instead of an average estimation for the population as a whole when investigating food demand in rural China. Given the significant changes in income distribution in rural China, this study provides several important policy implications to alleviate income inequality and poverty, as well as to improve nutrition for lower-income classes.

Suggested Citation

  • Yanjun Ren & Yanjie Zhang & Jens-Peter Loy & Thomas Glauben, 2018. "Food consumption among income classes and its response to changes in income distribution in rural China," China Agricultural Economic Review, Emerald Group Publishing Limited, vol. 10(3), pages 406-424, July.
    • Handle: RePEc:eme:caerpp:caer-08-2014-0079
    DOI: 10.1108/CAER-08-2014-0079
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    Citations

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    Cited by:

    1. Ning Wei & Dingqiang Sun, 2023. "Children’s education and parents’ dietary nutrient intake: an empirical study based on rural China," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-13, December.
    2. Ting Jin & Lei Li, 2022. "Does Smartphone Use Improve the Dietary Diversity of Rural Residents? Evidence from Household Survey Data from 5 Provinces," IJERPH, MDPI, vol. 19(17), pages 1-16, September.
    3. Xinru Han & Ping Xue & Wenbo Zhu & Xiudong Wang & Guojing Li, 2022. "Shrinking Working-Age Population and Food Demand: Evidence from Rural China," IJERPH, MDPI, vol. 19(21), pages 1-15, November.
    4. Ghulam Mustafa & Nasir Iqbal & Faiz Ur Rehman, 2022. "Evaluating the Short Run and Long Run Impacts of Unconditional Cash Transfers on Food-Seeking Behaviour: New Insights from BISP, Pakistan (Article)," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 61(1), pages 85-102.
    5. Ren, Yanjun & Castro Campos, Bente & Loy, Jens-Peter & Brosig, Stephan, 2019. "Low-income and overweight in China: Evidence from a life-course utility model," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 18(8), pages 1753-1767.
    6. Li, Shaoting & Chen, Xuan & Ren, Yanjun & Glauben, Thomas, 2024. "The impact of demographic dynamics on food consumption and its environmental outcomes: Evidence from China," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 23(2), pages 414-429.
    7. Ren, Yanjun & Castro Campos, Bente & Peng, Yanling & Glauben, Thomas, 2021. "Nutrition transition with accelerating urbanization? Empirical evidence from rural China," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 13(3).
    8. Han, Xinru & Li, Guojing, 2021. "Shrinking Working-Age Population and Food Demand: Evidence from Rural China," 2021 Conference, August 17-31, 2021, Virtual 315000, International Association of Agricultural Economists.

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