IDEAS home Printed from https://ideas.repec.org/p/ags/iaae15/211797.html
   My bibliography  Save this paper

The Effect of U.S. International Food Aid on Prices for Dry Peas and Lentils

Author

Listed:
  • Janzen, Joseph

Abstract

I estimate the effect of US international food aid procurement on price in the domestic US market where food aid commodities must be procured. This analysis is relevant to two outstanding questions: 1. Why do US farmers support current US food aid policy with regard to domestic sourcing? and 2. Does domestic food aid procurement displace commercial trade? I consider three commodities, green peas, yellow peas, and lentils, for which US food aid procurement comprises a significant share of demand and where market analysts suggest that US food aid is an important price driver. Using a bivariate vector autoregression model of prices and procurement quantities, I estimate the response of US prices, relative to a global price benchmark, to shocks to US food aid procurement. In general, price response is limited in magnitude, relatively short-lived, and only significantly different from zero in the case of yellow peas.

Suggested Citation

  • Janzen, Joseph, 2015. "The Effect of U.S. International Food Aid on Prices for Dry Peas and Lentils," 2015 Conference, August 9-14, 2015, Milan, Italy 211797, International Association of Agricultural Economists.
    • Handle: RePEc:ags:iaae15:211797
    DOI: 10.22004/ag.econ.211797
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/211797/files/Janzen-The%20Effect%20of%20US%20International%20Food%20Aid%20on%20US%20Prices-615.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.211797?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Boylan, J.E. & Syntetos, A.A., 2007. "The accuracy of a Modified Croston procedure," International Journal of Production Economics, Elsevier, vol. 107(2), pages 511-517, June.
    2. Barrett, Christopher B., 2002. "Food Aid And Commercial International Food Trade," Working Papers 14742, Cornell University, Department of Applied Economics and Management.
    3. Barrett, Christopher B & Mohapatra, Sandeep & Snyder, Donald L, 1999. "The Dynamic Effects of U.S. Food Aid," Economic Inquiry, Western Economic Association International, vol. 37(4), pages 647-656, October.
    4. Lentz, Erin C. & Passarelli, Simone & Barrett, Christopher B., 2013. "The Timeliness and Cost-Effectiveness of the Local and Regional Procurement of Food Aid," World Development, Elsevier, vol. 49(C), pages 9-18.
    5. Garg, Teevrat & Barrett, Christopher B. & Gómez, Miguel I. & Lentz, Erin C. & Violette, William J., 2013. "Market Prices and Food Aid Local and Regional Procurement and Distribution: A Multi-Country Analysis," World Development, Elsevier, vol. 49(C), pages 19-29.
    6. Diven, Polly J., 2001. "The domestic determinants of US food aid policy," Food Policy, Elsevier, vol. 26(5), pages 455-474, October.
    7. Lutz Kilian, 2009. "Pitfalls in Estimating Asymmetric Effects of Energy Price Shocks," 2009 Meeting Papers 473, Society for Economic Dynamics.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Qian, Nancy & Deserranno, Erika, 2020. "Aid Crowd-Out: The Effect of NGOs on Government-Provided Public Services," CEPR Discussion Papers 14755, C.E.P.R. Discussion Papers.
    2. Erika Deserranno & Aisha Nansamba & Nancy Qian, 2020. "The Unintended Consequences of NGO-Provided Aid on Government Services in Uganda," NBER Working Papers 26928, National Bureau of Economic Research, Inc.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Ferrière, Nathalie & Suwa-Eisenmann, Akiko, 2015. "Does Food Aid Disrupt Local Food Market? Evidence from Rural Ethiopia," World Development, Elsevier, vol. 76(C), pages 114-131.
    2. Barrett, Christopher B., 2002. "Food Aid Effectiveness: "It'S The Targeting, Stupid!"," Working Papers 14754, Cornell University, Department of Applied Economics and Management.
    3. Barrett, C. B. & Heisey, K. C., 2002. "How effectively does multilateral food aid respond to fluctuating needs?," Food Policy, Elsevier, vol. 27(5-6), pages 477-491.
    4. Titus O. Awokuse, 2006. "Assessing the Impact of Food Aid on Recipient Countries: A Survey," Working Papers 06-11, Agricultural and Development Economics Division of the Food and Agriculture Organization of the United Nations (FAO - ESA).
    5. Ryan Cardwell & Pascal L. Ghazalian, 2020. "The Effects of Untying International Food Assistance: The Case of Canada," American Journal of Agricultural Economics, John Wiley & Sons, vol. 102(4), pages 1056-1078, August.
    6. Lentz, Erin C. & Barrett, Christopher B. & Gómez, Miguel I. & Maxwell, Daniel G., 2013. "On The Choice and Impacts of Innovative International Food Assistance Instruments," World Development, Elsevier, vol. 49(C), pages 1-8.
    7. Zavale, Helder & Myers, Robert & Tschirley, David, 2015. "Market Level Effects of World Food Program Local and Regional Procurement of Food Aid in Africa," 2015 Conference, August 9-14, 2015, Milan, Italy 211862, International Association of Agricultural Economists.
    8. Tschirley, David & Myers, Robert & Zavale, Helder, 2014. "MSU/FSG Study of the Impact of WFP Local and Regional Food Aid Procurement on Markets, Households, and Food Value Chains," Food Security International Development Working Papers 184835, Michigan State University, Department of Agricultural, Food, and Resource Economics.
    9. Jan Fałkowski, 2018. "U.S. food aid and American exports to recipient countries during the Cold War," Agricultural Economics, International Association of Agricultural Economists, vol. 49(5), pages 659-668, September.
    10. Harou, Aurélie P. & Upton, Joanna B. & Lentz, Erin C. & Barrett, Christopher B. & Gómez, Miguel I., 2013. "Tradeoffs or Synergies? Assessing Local and Regional Food Aid Procurement through Case Studies in Burkina Faso and Guatemala," World Development, Elsevier, vol. 49(C), pages 44-57.
    11. Lutz Kilian, 2010. "Oil Price Shocks, Monetary Policy and Stagflation," RBA Annual Conference Volume (Discontinued), in: Renée Fry & Callum Jones & Christopher Kent (ed.),Inflation in an Era of Relative Price Shocks, Reserve Bank of Australia.
    12. Basher, Syed Abul & Haug, Alfred A. & Sadorsky, Perry, 2012. "Oil prices, exchange rates and emerging stock markets," Energy Economics, Elsevier, vol. 34(1), pages 227-240.
    13. Lisa F. Clark, 2018. "Policy conflicts in global food assistance strategies: balancing local procurement and harmonization," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 10(1), pages 211-222, February.
    14. Apri Wahyudi & John K. M. Kuwornu & Endro Gunawan & Avishek Datta & Loc T. Nguyen, 2019. "Factors Influencing the Frequency of Consumers’ Purchases of Locally-Produced Rice in Indonesia: A Poisson Regression Analysis," Agriculture, MDPI, vol. 9(6), pages 1-17, June.
    15. Mr. Daniel Leigh & Mr. Andrea Pescatori & Mr. Jaime Guajardo, 2011. "Expansionary Austerity New International Evidence," IMF Working Papers 2011/158, International Monetary Fund.
    16. Lara Cockx & Nathalie Francken, 2016. "Evolution and impact of EU aid for food and nutrition security: a review," Working Papers of LICOS - Centre for Institutions and Economic Performance 572519, KU Leuven, Faculty of Economics and Business (FEB), LICOS - Centre for Institutions and Economic Performance.
    17. Anna Kormilitsina, 2011. "Oil Price Shocks and the Optimality of Monetary Policy," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 14(1), pages 199-223, January.
    18. Engemann, Kristie M. & Kliesen, Kevin L. & Owyang, Michael T., 2011. "Do Oil Shocks Drive Business Cycles? Some U.S. And International Evidence," Macroeconomic Dynamics, Cambridge University Press, vol. 15(S3), pages 498-517, November.
    19. Kollmann, Robert & Zeugner, Stefan, 2012. "Leverage as a predictor for real activity and volatility," Journal of Economic Dynamics and Control, Elsevier, vol. 36(8), pages 1267-1283.
    20. Valcarcel, Victor J. & Wohar, Mark E., 2013. "Changes in the oil price-inflation pass-through," Journal of Economics and Business, Elsevier, vol. 68(C), pages 24-42.

    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:ags:iaae15:211797. See general information about how to correct material in RePEc.

    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 bibliographic 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.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/iaaeeea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.