In-kind transfers and household food consumption: implications for targeted food programs In Bangladesh

Working Paper
Subtitle: 
[FMRSP Working Paper No. 17]

This paper examines the impact of wheat transfers and cash incomes on wheat consumption, total calories consumed, and wheat markets. Econometric estimates using data from a recent survey of households in rural Bangladesh indicate that the total marginal propensity to consume (MPC) wheat out of small wheat transfers to poor households is approximately 0.25, while MPC’s for wheat out of cash income are near zero. This increase in demand reduces the potential price effect of the three major targeted programs by about six percent. Likewise, the total MPC calories out of wheat transfers is approximately twice as large as that from cash income.

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Date and language
Jan 2000
English
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