EconPapers    
Economics at your fingertips  
 

On food security and the economic valuation of food

Jean-Paul Chavas ()

Food Policy, 2017, vol. 69, issue C, 58-67

Abstract: The paper presents an economic evaluation of food and the cost of food insecurity. Building on behavioral regularities of consumer behavior, the analysis estimates the benefit of food at the individual level and at the world level. It finds an inverted-U relationship between food benefit and income. At the individual level, the “food benefit/income” ratio starts at 0 under extreme poverty, increases with income to reach a maximum of 4.4 when income per capita is around $13,000, and then declines slowly as income rises. The paper shows very large aggregate net benefit of food. The analysis also evaluates the cost of food insecurity. It shows that aversion to food insecurity is pervasive, the coefficient of relative risk aversion to food insecurity being around 2.7. The analysis evaluates empirically the cost of food insecurity. We report the cost of food insecurity under alternative scenarios, documenting that it can be large in situations of exposure to significant downside risk.

Keywords: Food security; Value of food; Benefit; Risk (search for similar items in EconPapers)
JEL-codes: Q11 Q18 D12 (search for similar items in EconPapers)
Date: 2017
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1) Track citations by RSS feed

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0306919216304353
Full text for ScienceDirect subscribers only

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:eee:jfpoli:v:69:y:2017:i:c:p:58-67

Access Statistics for this article

Food Policy is currently edited by J. Kydd

More articles in Food Policy from Elsevier
Bibliographic data for series maintained by Dana Niculescu ().

 
Page updated 2019-08-20
Handle: RePEc:eee:jfpoli:v:69:y:2017:i:c:p:58-67