Border Price Shocks, Spatial Price Variation, and their Impacts on Poverty in Uganda
How does an increase in food prices at the border impact poverty in Uganda given the strong spatial heterogeneity of the country and its limited domestic transportation and communication networks? Recently, a number of studies on the impact of international food prices on poverty in developing countries have been published. However, the role of spatial price transmission in this context remains largely unexplored. This paper targets that niche. We assess the spatial variability and transmission of prices through the analysis of time series and household data using descriptive statistics and regression methods. Subsequently, we apply the findings in a simulation experiment to determine the first-order poverty impacts of a hypothetical 50% increase in border prices for food under the assumption of imperfect spatial price transmission. The poverty results show impacts substantially different from those of a perfect price transmission scenario and also display strong regional differentiation.
|Date of creation:||Nov 2009|
|Contact details of provider:|| Postal: 01|
Phone: 00 353 1 896 3888
Fax: 00 353 1 896 3939
Web page: http://www.tcd.ie/iiis/
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Foster, James & Greer, Joel & Thorbecke, Erik, 1984. "A Class of Decomposable Poverty Measures," Econometrica, Econometric Society, vol. 52(3), pages 761-766, May.
- Joseph, George & Wodon, Quentin, 2008. "Assessing the potential impact on poverty of rising cereals prices : the case of Mali," Policy Research Working Paper Series 4744, The World Bank.
- Marcel Fafchamps & Ruth Vargas Hill & Aliziki Kaudha & Robert Waggwa Nsibirwa, 2003.
"The transmission of international commodity prices to domestic producers,"
CSAE Working Paper Series
2003-14, Centre for the Study of African Economies, University of Oxford.
- Marcel Fafchamps & Ruth Hill & Aliziki Kaudha, 2004. "The Transmission of International Commodity Prices to Domestic Producers," Development and Comp Systems 0409038, EconWPA.
- Ole BOYSEN & Alan MATTHEWS, "undated". "Poverty Impacts of an Economic Partnership Agreement between Uganda and the EU," EcoMod2008 23800016, EcoMod.
- Ole Boysen and Alan Matthews, 2008. "Poverty Impacts of an Economic Partnership Agreement between Uganda and the EU," The Institute for International Integration Studies Discussion Paper Series iiisdp261, IIIS.
- Fackler, Paul L. & Goodwin, Barry K., 2001. "Spatial price analysis," Handbook of Agricultural Economics, in: B. L. Gardner & G. C. Rausser (ed.), Handbook of Agricultural Economics, edition 1, volume 1, chapter 17, pages 971-1024 Elsevier.
- Bart Capéau & Stefan Dercon, 2006. "Prices, Unit Values and Local Measurement Units in Rural Surveys: an Econometric Approach with an Application to Poverty Measurement in Ethiopia," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 15(2), pages 181-211, June.
- Bart Capéau & Stefan Dercon, 1998. "Prices, Unit Values and Local Measurement Units in Rural Surveys: an Econometric Approach with an Application to Poverty Measurement in Ethiopia," Working Papers Department of Economics ces9818, KU Leuven, Faculty of Economics and Business, Department of Economics.
- Bart Capéau & Stefan Dercon, 2004. "Prices, unit values and local measurement units in rural surveys: an econometric approach with an application to poverty measurement in Ethiopia," Public Economics Working Paper Series puvlmurs, Katholieke Universiteit Leuven, Centrum voor Economische Studiën, Working Group Public Economics.
- Shahidur Rashid, 2004. "Spatial Integration of Maize Markets in Post-liberalised Uganda," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 13(1), pages 102-133, March.
- Rashid, Shahidur, 2004. "Spatial integration of maize markets in post-liberalized Uganda," MTID discussion papers 71, International Food Policy Research Institute (IFPRI).
- Ekaterina Krivonos & Marcelo Olarreaga, 2009. "Sugar Prices, Labor Income, and Poverty in Brazil," ECONOMIA JOURNAL OF THE LATIN AMERICAN AND CARIBBEAN ECONOMIC ASSOCIATION, ECONOMIA JOURNAL OF THE LATIN AMERICAN AND CARIBBEAN ECONOMIC ASSOCIATION, vol. 0(Spring 20), pages 95-128, January.
- Krivonos, Ekaterina & Olarreaga, Marcelo, 2005. "Sugar Prices, Labour Income and Poverty in Brazil," CEPR Discussion Papers 5383, C.E.P.R. Discussion Papers.
- Krivonos, Ekaterina & Olarreaga, Marcelo, 2006. "Sugar prices, labor income, and poverty in Brazil," Policy Research Working Paper Series 3874, The World Bank.
- Christine Moser & Christopher Barrett & Bart Minten, 2009. "Spatial integration at multiple scales: rice markets in Madagascar," Agricultural Economics, International Association of Agricultural Economists, vol. 40(3), pages 281-294, 05.
- Ivanic, Maros & Martin, Will, 2008. "Implications of higher global food prices for poverty in low-income countries," Policy Research Working Paper Series 4594, The World Bank.
- Todd Benson & Samuel Mugarura & Kelly Wanda, 2008. "Impacts in Uganda of rising global food prices: the role of diversified staples and limited price transmission," Agricultural Economics, International Association of Agricultural Economists, vol. 39(s1), pages 513-524, November.
- James G. MacKinnon, 1990. "Critical Values for Cointegration Tests," Working Papers 1227, Queen's University, Department of Economics.
- James G. MacKinnon, 2010. "Critical Values for Cointegration Tests," Working Papers 1227, Queen's University, Department of Economics.
- Tom Doan, "undated". "EGTEST: RATS procedure to compute Engle-Granger test for Cointegration," Statistical Software Components RTS00061, Boston College Department of Economics.
- Nicita, Alessandro, 2004. "Who benefited from trade liberalization in Mexico? Measuring the effects on household welfare," Policy Research Working Paper Series 3265, The World Bank. Full references (including those not matched with items on IDEAS)
When requesting a correction, please mention this item's handle: RePEc:iis:dispap:iiisdp306. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Colette Keleher)
If references are entirely missing, you can add them using this form.