Food security for the poor: exploring policy options under alternative price regimes

Research Grant Reports
[Final Report CF # 9/07]

The major objective of this study is to compare the impact of several government policy options on the food security of different income groups. Two interconnected models (namely the “market model” and the “household food security model”)   have been developed where government policy instruments are present as the exogenous variables in the system. Government policy instrument variables have not been found to be statistically significant. The market model also implies that the supply side variables play an important role in determination of rice prices. Therefore, emphasis on increases in rice production amount needs to be one major priority area. As expected, household characteristics are found to be strongly correlated with food security situation. Especially household infrastructure, land size and household head’s employment characteristics are found to be strong indicators of food security situation. Our results show that one percent increase in the price of coarse rice leads to around thirty four percent reduction in the likelihood of a household being food secure. This coefficient gives a quantifiable measure of the impact of rice price on the overall food security situation of the households. After controlling for other household characteristics, we also find that the households, with their head engaged in salaried wage employment, are around  more likely to be food insecure than households with their head in agricultural labor.

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Date and language
Sep 2009
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Agris Subject Categories: 
Food Security
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