European Agriculture, International Markets and LDC Growth and Food Security
The EC has a significant impact on world agricultural markets because of its size. Protective CAP policies have tended to depress and destabilize world market prices. The empirical evidence reviewed suggests that these effects are significant, and that developing countries are affected, albeit not as much as developed ones. However, least developed food importing countries tend to be favored by EC policies with bilateral preferences. The nature of chronic and transitory food insecurity problems in developing countries is examined. Consumption instability retards growth both of the very poor people within developing countries, as well as the countries themselves. While market based solutions do little to alleviate food insecurity, direct non-market approaches are preferable. It is suggested that a "food insurance fund" is instituted either unilaterally by the EC or in conjunction with other donors, as an effective means to improve worldwide food security. Copyright 1991 by Oxford University Press.
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Volume (Year): 18 (1991)
Issue (Month): 3-4 ()
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