Rising Food Prices and Coping Strategies: Household-Level Evidence from Afghanistan

40 Pages Posted: 20 Apr 2016

See all articles by Anna D'Souza

Anna D'Souza

School of Public Affairs, Baruch College, CUNY

Dean Jolliffe

World Bank; IZA Institute of Labor Economics

Date Written: November 1, 2010

Abstract

This paper investigates the impact of rising wheat prices -- during the 2007/08 global food crisis -- on food security in Afghanistan. Exploiting the temporal stratification of a unique nationally-representative household survey, the analysis finds evidence of large declines in real per capita food consumption and in food security (per capita calorie intake and household dietary diversity) corresponding to the price shocks. The data reveal smaller price elasticities with respect to calories than with respect to food consumption, suggesting that households trade off quality for quantity as they move toward staple foods and away from nutrient-rich foods such as meat and vegetables. In addition, there is increased demand in the face of price increases (Giffen good properties) for wheat products in urban areas. This study improves on country-level simulation studies by providing estimates of actual household wellbeing before and during the height of the global food crisis in one of the world's poorest, most food-insecure countries.

Keywords: Food & Beverage Industry, Regional Economic Development, Rural Poverty Reduction, Nutrition

Suggested Citation

D'Souza, Anna E. and Jolliffe, Dean Mitchell, Rising Food Prices and Coping Strategies: Household-Level Evidence from Afghanistan (November 1, 2010). World Bank Policy Research Working Paper No. 5466, Available at SSRN: https://ssrn.com/abstract=1701527

Anna E. D'Souza (Contact Author)

School of Public Affairs, Baruch College, CUNY ( email )

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HOME PAGE: http://https://sites.google.com/site/annadsouza/

Dean Mitchell Jolliffe

World Bank ( email )

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HOME PAGE: http://www.deanjolliffe.net

IZA Institute of Labor Economics ( email )

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Germany

HOME PAGE: http://www.iza.org/en/webcontent/index_html

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