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Impact Of Economic Reform On Food Demand, Dominican Republic

Author

Listed:
  • Tun, Sovan
  • Yetley, Mervin J.

Abstract

This report examines the impact on food consumption of increased food prices resulting from economic reform measures adopted by the Dominican Republic in 1984. The response of urban and rural consumers of various income levels to these price increases was determined by estimating the structure of food demand. Prices rose for certain basic commodities including soya oil, wheat flour,-algar, bread, and milk. This led to the substitution of cheaper commodities and a decline in total caloric intake across all groups. Although higher income groups had a greater reduction in caloric intake, lower income urban consumers were most severely affected. An additional 34 percent, for an overall 77 percent of Dominican households, were placed at some degree of nutritional risk as a result of this policy. Alternative monetary policies should be explored to minimize potential negative nutrition effects. When consumers substitute locally produced food for imported food, U.S. food exporters face decreasing demand.

Suggested Citation

  • Tun, Sovan & Yetley, Mervin J., 1985. "Impact Of Economic Reform On Food Demand, Dominican Republic," Staff Reports 277672, United States Department of Agriculture, Economic Research Service.
    • Handle: RePEc:ags:uerssr:277672
    DOI: 10.22004/ag.econ.277672
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    File URL: https://ageconsearch.umn.edu/record/277672/files/ers-report-168.pdf
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    References listed on IDEAS

    as
    1. Yetley, Mervin J. & Tun, Sovan, 1984. "Comparison Of Three Food Consumption Estimation Procedures," Staff Reports 276845, United States Department of Agriculture, Economic Research Service.
    2. Tun, Sovan & Yetley, Mervin J., 1985. "A New Method to Assess Effects of Food Supply Shocks on Conumption in Developing Countries," Technical Bulletins 157671, United States Department of Agriculture, Economic Research Service.
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    1. Yetley, Mervin J. & Tun, Sovan, 1986. "Projecting Food Demand: A Comparison Of Two Methods," Staff Reports 277890, United States Department of Agriculture, Economic Research Service.

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