Argentina: Feeding on Food Crisis?

Ahmet Ozyigit and Fehiman Eminer

Journal of Asian Business Strategy, 2011, vol. 1, issue 1, 1-7

Abstract: This article uses a Vector Error Correction Model (VECM) framework to estimate simultaneously the short-run and long-run relationship between food price inflation and poverty reduction in Argentina. Results from the cointegration tests reveal that economic growth, food price inflation and poverty reduction exhibit a long-run relationship. The results from the VECM support the argument that there exists a uni-directional causality running from food price inflation and economic growth to poverty reduction, but not the other way around. Argentina has, in fact, witnessed substantial poverty reduction as a response to the global food crisis by maintaining its position as a net exporter of food products.

Keywords: Argentina; Food price inflation; Global food crisis; Cointegration; Vector error correction; Agriculture-led growth; Poverty reduction (search for similar items in EconPapers)
Date: 2011
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Persistent link: https://EconPapers.repec.org/RePEc:asi:joabsj:v:1:y:2011:i:1:p:1-7:id:3993

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