The Impact of Food Inflation on Poverty in Nepal

Ph.D. Min Bahadur Shrestha () and Shashi Kant Chaudhary ()
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Ph.D. Min Bahadur Shrestha: Nepal Rastra Bank
Shashi Kant Chaudhary: Nepal Rastra Bank

NRB Economic Review, 2012, vol. 24, issue 2, 1-14

Abstract: This paper examines the impact of food price hike on poverty in Nepal employing cross-sectional sample household consumption data of Nepal Living Standard Survey III. The findings of the study suggest that a 10 percent rise in food prices is likely to increase overall poverty in Nepal by 4 percentage points. It implies that one percent rise in food inflation will push 100 thousand additional people into overall poverty and 180 thousand additional people into food poverty. The paper also analyses the impact at the regional level and suggests some policy options to contain the food inflation and to mitigate the impact of food price hike on the poor section of the population.

Keywords: Consumption; food prices; poverty (search for similar items in EconPapers)
JEL-codes: A11 A13 E31 (search for similar items in EconPapers)
Date: 2012
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Citations: View citations in EconPapers (3)

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Persistent link: https://EconPapers.repec.org/RePEc:nrb:journl:v:24:y:2012:i:2:p:1

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