FOOD INSECURITY IN SAO PAULO’S LOW-INCOME FAMILIES

César Roberto Leite da Silva (), Raquel Castelluci Caruso Sachs () and Maria Auxiliadora de Carvalho ()
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César Roberto Leite da Silva: Instituto de Economia Agrícola
Raquel Castelluci Caruso Sachs: Instituto de Economia Agrícola
Maria Auxiliadora de Carvalho: Instituto de Economia Agrícola

Revista de Economia Mackenzie (REM), 2010, vol. 8, issue 2, 69-88

Abstract: Food price volatility can be an important source of food insecurity, mainly for low-income families. To test this hypothesis, three food price indexes were developed for São Paulo’s households with earnings up to two minimum wag-es: for non-processed food goods (ICA_N); for processed food goods (ICA_P); and for aggregate food goods (ICA). The expenses with this kind of goods achieve 79.8% of total food expenses of these households. The volatility of food cost indexes was examined with Garch class models. Empirical results suggest strong signs of persistence and asymmetry in the volatility of the in-dexes. These patterns of volatility effectively increase food insecurity of low-income families and demand public policies which ensure at least price stabil-ity for essential food goods.

Keywords: Food insecurity; Price volatility; Food cost. (search for similar items in EconPapers)
Date: 2010
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Persistent link: https://EconPapers.repec.org/RePEc:aft:journl:v:8:2:2010:may:aug:p:69-88

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