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Food insecurity and public agricultural spending in Bolivia : putting money where your mouth is ?

Author

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  • Cuesta, Jose
  • Edmeades, Svetlana
  • Madrigal, Lucia

Abstract

This paper explores the reduction of food insecurity in Bolivia, adopting a supply side approach that analyzes the role of agricultural spending on vulnerability. Vulnerability to food insecurity is captured by a municipal level composite -- developed locally within the framework of World Food Program food security analysis -- that combines welfare outcomes, weather conditions and agricultural potential for all 327 municipalities in 2003, 2006 and 2007. Our econometric results indicate that levels of public agricultural spending are positively associated with high or very high vulnerability. The authors interpret this to indicate that agricultural spending allocation decisions are driven by high or very high vulnerability levels. In other words, more agricultural spending appears to be destined to where it is more needed in line with previous findings in other sectors in Bolivia. This is confirmed through a number of specifications, including contemporaneous and lagged relationships between spending and vulnerability. They also find evidence of public spending on infrastructure and research and extension services having a significant (but very small) effect towards reducing high vulnerability. This indicates the importance of the composition of public agricultural spending in shaping its relationship with vulnerability to food insecurity.

Suggested Citation

  • Cuesta, Jose & Edmeades, Svetlana & Madrigal, Lucia, 2011. "Food insecurity and public agricultural spending in Bolivia : putting money where your mouth is ?," Policy Research Working Paper Series 5604, The World Bank.
  • Handle: RePEc:wbk:wbrwps:5604
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    References listed on IDEAS

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    1. Cuesta, Jose & Kabaso, Pamela & Suarez-Becerra, Pablo, 2012. "How pro-poor and progressive is social spending in Zambia ?," Policy Research Working Paper Series 6052, The World Bank.
    2. Per Pinstrup-Andersen, 2009. "Food security: definition and measurement," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 1(1), pages 5-7, February.
    3. Faguet, Jean-Paul & Sánchez, Fabio, 2008. "Decentralization's Effects on Educational Outcomes in Bolivia and Colombia," World Development, Elsevier, vol. 36(7), pages 1294-1316, July.
    4. Cristóbal Kay, 2011. "Rural Poverty Reduction Policies in Honduras, Nicaragua and Bolivia: Lessons from a Comparative Analysis," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 23(2), pages 249-265, April.
    5. Faguet, Jean-Paul, 2004. "Does decentralization increase government responsiveness to local needs?: Evidence from Bolivia," Journal of Public Economics, Elsevier, vol. 88(3-4), pages 867-893, March.
    6. José Cuesta & Suzanne Duryea & Fidel Jaramillo & Marcos Robles, 2010. "Distributive impacts of the food price crisis in the Andean region," Journal of International Development, John Wiley & Sons, Ltd., vol. 22(7), pages 846-865.
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    Cited by:

    1. Mogues, Tewodaj & Erman, Alvina, 2016. "Institutional arrangements to make public spending responsive to the poor—(where) have they worked?: Review of the evidence on four major intervention types," IFPRI discussion papers 1519, International Food Policy Research Institute (IFPRI).
    2. World Bank, 2011. "Plurinational State of Bolivia : Agriculture Public Expenditure Review," World Bank Other Operational Studies 12311, The World Bank.
    3. Mogues, Tewodaj & Caceres, Leonardo & Fernandez, Francisco A. & Umarji, Mariam B., 2015. "Reconstructing public expenditure data: Use of classification systems to better measure public spending in agriculture — a Mozambique case study:," IFPRI discussion papers 1474, International Food Policy Research Institute (IFPRI).
    4. Fander Falconí & Juan Cadillo Benalcazar & Freddy Llive Cóndor & Jesus Ramos-Martin & Belén Liger, 2015. "Pérdida de autosuficiencia alimentaria y posibilidades de complementariedad agrícola en los países de UNASUR," Documentos de Trabajo CEPROEC 2015_06, Instituto de Altos Estudios Nacionales, Centro de Prospectiva Estratégica.

    More about this item

    Keywords

    Food&Beverage Industry; Rural Poverty Reduction; Public Sector Economics; Population Policies; Agricultural Knowledge&Information Systems;

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