Distinguishing between ‘Normal’ and ‘Extreme’ Price Volatility in Food Security Assessment

R. Huffaker, Maurizio Canavari and R. Muñoz-Carpena

No 244462, 2016 International European Forum (151st EAAE Seminar), February 15-19, 2016, Innsbruck-Igls, Austria from International European Forum on System Dynamics and Innovation in Food Networks

Abstract: Volatile food prices are held to threaten food security worldwide, but controversy over how to distinguish between ‘normal’ and ‘extreme’ volatility compromises threat assessment and identification of countermeasures. Whether food-market dynamics normally stabilize or destabilize prices is the source of controversy. The conventional view is that market dynamics are inherently stable so that price volatility—arising from exogenous shocks—normally stabilizes due to forces of supply and demand. Extended food panics are improbable, reducing need for interventionist public policy. An emergent alternative view is that market dynamics are inherently unstable so that volatility persists endogenously. Interventionist public policy is needed to deal with chronic food panics.

Keywords: Agribusiness; Demand and Price Analysis (search for similar items in EconPapers)
Pages: 2
Date: 2016-05
New Economics Papers: this item is included in nep-agr and nep-sog
References: Add references at CitEc
Citations:

Downloads: (external link)
https://ageconsearch.umn.edu/record/244462/files/13-B3_Huffaker_Abstract.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ags:iefi16:244462

DOI: 10.22004/ag.econ.244462

Access Statistics for this paper

More papers in 2016 International European Forum (151st EAAE Seminar), February 15-19, 2016, Innsbruck-Igls, Austria from International European Forum on System Dynamics and Innovation in Food Networks Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().