Income Versus Prices: How Does The Business Cycle Affect Food (In)-Security?

Christian Bogmans, Andrea Pescatori and Ervin Prifti

No 2021/238, IMF Working Papers from International Monetary Fund

Abstract: We study how two aspects of food insecurity - caloric insufficiency and diet composition - are affected by aggregate economic fluctuations. The use of cross-country panel data allows us to adopt a global prospective on the identification of the macroeconomic determinants of food insecurity. Income shocks are the most relevant driver of food insecurity, displaying high elasticities at the early stages of economic development. The role of food price shocks is more limited. Social protection has a direct effect and mitigates the impact of income shocks. Effects are highly heterogeneous across a range of structural characteristics of the economy, highlighting the role of distributional aspects and of food import dependency.

Keywords: Food insecurity; growth; food prices; social protection; diet and health; food inflation; income elasticity; FD estimate; elasticity of undernourishment; coefficient estimate; rising prices; least squares; coefficient estimates of the interaction terms; inflation elasticity; ln GDP pc; income share; descriptive statistics; Food security; Income; Inflation; Purchasing power; Global; South Asia (search for similar items in EconPapers)
Pages: 40
Date: 2021-09-24
New Economics Papers: this item is included in nep-agr
References: Add references at CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://www.imf.org/external/pubs/cat/longres.aspx?sk=466173 (application/pdf)

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:imf:imfwpa:2021/238

Ordering information: This working paper can be ordered from
http://www.imf.org/external/pubs/pubs/ord_info.htm

Access Statistics for this paper

More papers in IMF Working Papers from International Monetary Fund International Monetary Fund, Washington, DC USA. Contact information at EDIRC.
Bibliographic data for series maintained by Akshay Modi ().