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Agricultural wages and food prices in Egypt

Gaurav Datt () and Jennifer Olmsted

No 53, FCND discussion papers from International Food Policy Research Institute (IFPRI)

Abstract: The trend in real agricultural wages in Egypt is described well by an inverted U-shaped curve with a peak around 1985. But the rise and fall of real wages masks a complex dynamic process by which nominal wages adjust in response to changes in food prices. We use governorate-level panel data for 1976–1993 to explore the nature of this adjustment process. Our results indicate that nominal wages adjust slowly. There is a significant negative initial impact of rising food prices on real wages, though wages do catch up in the long run.

Keywords: Income Egypt; agricultural economics (search for similar items in EconPapers)
Date: 1998
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