scholarly journals WELFARE IMPACT OF HIGH-NUTRIENT FOOD PRICE INCREASE ON INDONESIAN HOUSEHOLDS: IS THERE ROLE FROM OWN-FARM PRODUCTION?

2020 ◽  
Vol 35 (1) ◽  
Author(s):  
Rodhiah Umaroh ◽  
Evita Hanie Pangaribowo

Introduction/Main Objectives: Significant price increases of food commodities and uncertainty in the market probably have a severe impact on society and especially on the low-income households in it. Background Problems: The increases in food price could have a large impact on the economy and specifically on that of households. Thus, the study was conducted to investigate what the demand for food specifically high-nutrient food and the impact on welfare are like in Indonesian households when food prices rise. Novelty: There were bulk of empirical researches on the impact of food price changes on household welfare, however the study focused on high-nutrient commodities in particular on the self-produced food was still limited. many of the previous studies used cross-section data for one period but this study used two-wave longitudinal data Research Methods: Using large sample data from Indonesian Family Life Survey (IFLS), the study employed the Quadratic Almost Ideal Demand System (QUAIDS) to identify the demand pattern and applied Compensating Variation (CV) to understand the impact of soaring food price on welfare change Finding/Results: Overall, The analysis of welfare impact notes that when the price increases, all household groups would experience welfare loss. The poorest household would be lower in level of experiencing welfare loss than the richest household while more welfare loss is suffered by households that live in Java and rural areas. Conclusion: For the low-income households, having their own productive farm could overcome an economic shock threatening them. Thus, the government should support small-scale farming through such strategic policies as giving them input assistance and training in how to manage a small farm.m.

2008 ◽  
Vol 13 (Special Edition) ◽  
pp. 117-138 ◽  
Author(s):  
Theresa Thompson Chaudhry ◽  
Azam Amjad Chaudhry

The dramatic increase in international food and fuel prices in recent times is a crucial issue for developing countries and the most vulnerable to these price shocks are the poorest segments of society. In countries like Pakistan, the discussion has focused on the impact of substantially higher food and fuel prices on poverty. This paper used PSLM and MICS household level data to analyze the impact of higher food and energy prices on the poverty head count and the poverty gap ratio in Pakistan. Simulated food and energy price shocks present some important results: First, the impact of food price increases on Pakistani poverty levels is substantially greater than the impact of energy price increases. Second, the impact of food price inflation on Pakistani poverty levels is significantly higher for rural populations as compared to urban populations. Finally, food price inflation can lead to significant increases in Pakistani poverty levels: For Pakistan as a whole, a 20% increase in food prices would lead to an 8% increase in the poverty head count.


2022 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Faharuddin Faharuddin ◽  
M. Yamin ◽  
Andy Mulyana ◽  
Y. Yunita

PurposeUsing cross-sectional household survey data, this paper aims to determine the impact of food price increases on poverty in Indonesia.Design/methodology/approachThis paper uses the quadratic almost ideal demand system applied to the 2013 Indonesian household survey data. The impact of food price increase on household welfare is calculated using a welfare measure, compensating variation.FindingsThree food groups with the most outstanding price impact on poverty are rice, vegetables and fish were studied. The 20% increase in the price of each food group causes an increase in the headcount ratio by 1.360 points (rice), 0.737 points (vegetables) and 0.636 points (fish). Maintaining food price stability for these food groups is very important because the more price increases, the more impact on poverty. Food price policies in rural areas are also more critical than in urban areas because the impact of food price increases in rural areas is higher.Research limitations/implicationsThis paper does not consider the positive impact of rising food prices on food-producing households.Practical implicationsImplementing appropriate poverty alleviation policies through food policies for main food groups and social protection.Social implicationsPromoting rural development policies and agricultural growth.Originality/valueThis paper contributes to the existing literature by providing empirical results regarding the impact of domestic food prices increase on poverty in Indonesia.


Health Scope ◽  
2020 ◽  
Vol 9 (4) ◽  
Author(s):  
Behzad Raei ◽  
Amirhossein Takian ◽  
Mehdi Yaseri ◽  
Ghahreman Abdoli ◽  
Sara Emamgholipour

Background: The impact of pricing strategies on different socioeconomic groups is not uniform. There is urgency in addressing of characteristics of household demand to make a policy choice in line with development goals. Objectives: This study was done to assess the effect of welfare loss from counterfactual tax-induced cigarette price increases on representative smokers by different expenditure quintiles in Iran. Methods: This analytical study was conducted using pooling cross-sections and compensating variation (CV) to evaluate the costs of taxing cigarettes. The data source used in our study was the Household Income and Expenditure survey (HIES) from 2001 - 2017. We did an almost ideal demand system (AIDS) analysis to estimate elasticities for cigarette demand and compute welfare losses from simulated cigarette price increases by socioeconomic groups. We used STATA version 15.1 (StataCorp, College Station, TX, USA), and Microsoft Excel 2016 to undertake the relevant analyses and estimates. Results: The highest loss was suffered by households of the poorest quintile, who should afford 1.41%, 2.47 %, and 3.20% more budget in the long-run, respectively, as the result of three simulated price increases to stay at the same well-being as before. Conclusions: Concerning direct welfare loss from the cigarette taxation reform in Iran, and focusing on low-income groups, such a policy can be considered as regressive. However, this regressivity can be reduced by informing strategies to redirect sin tax revenues that benefit the poor.


2014 ◽  
Vol 2 (1) ◽  
Author(s):  
Souhad Abou Zaki ◽  
Jad Chaaban ◽  
Lara Nasreddine ◽  
Ali Chalak

10.1596/35260 ◽  
2021 ◽  
Author(s):  
Yoonyoung Cho ◽  
Jorge Avalos ◽  
Yasuhiro Kawasoe ◽  
Douglas Johnson ◽  
Ruth Rodriguez

2020 ◽  
Author(s):  
Alexis Delabouglise ◽  
Nguyen Thi Le Thanh ◽  
Huynh Thi Ai Xuyen ◽  
Benjamin Nguyen-Van-Yen ◽  
Phung Ngoc Tuyet ◽  
...  

AbstractAvian influenza outbreaks have been occurring on smallholder poultry farms in Asia for two decades. Farmer responses to these outbreaks can slow down or accelerate virus transmission. We used a longitudinal survey of 53 small-scale chicken farms in southern Vietnam to investigate the impact of outbreaks with disease-induced mortality on harvest rate, vaccination, and disinfection behaviors. We found that in small broiler flocks (≤16 birds/flock) the estimated probability of harvest was 56% higher when an outbreak occurred, and 214% higher if an outbreak with sudden deaths occurred in the same month. Vaccination and disinfection were strongly positively correlated with flock size and farm size, respectively. Small-scale farmers – the overwhelming majority of poultry producers in low-income countries – tend to rely on rapid sale of birds to mitigate losses from diseases. As depopulated birds are sent to markets or trading networks, this reactive behavior has the potential to enhance onward transmission.One sentence summaryA cohort study of fifty three small-scale poultry farms in southern Vietnam reveals that when outbreaks occur with symptoms similar to highly pathogenic avian influenza, farmers respond by sending their chickens to market early, potentially exacerbating the effects of the outbreak.


2018 ◽  
Vol 19 (2) ◽  
pp. 268-287
Author(s):  
Corina Saman ◽  
Cecilia Alexandri

This paper deals with the dynamic response of exchange rates, inflation and agricultural foreign trade in Bulgaria, Poland and Romania to global food prices. We employ time-varying VARs with stochastic volatility to estimate the behaviour of these macroeconomic variables over the 2001M1–2015M12 period. The original contribution of this paper is that it captures the time variation and nonlinearities of the relationship between variables taking into account food price volatility and its macroeconomic implications. The main findings of the paper are: (i) high global food prices were transmitted to domestic economies causing pressure on inflation in the long run; (ii) in the short run the impact of a positive shock in international food price increases domestic inflation, depreci-ates the currency and reduces the agricultural trade; (iii) the vulnerabilities to global food prices are more pregnant for Romania and Bulgaria; (iv) the difference in the transmission of world prices is related to the different status of the countries as regards food and agricultural trade. The findings of the research would be significant for the governments to promote policies to help farmers respond to the rising of food prices by growing more and responding to export opportunities that may arise.


2021 ◽  
Vol 8 (Special Issue) ◽  
pp. 339-353
Author(s):  
Nur Harena Redzuan ◽  
Amir Abidin Bashir

A microfinance scheme was introduced in Malaysia in the year 1987 as one of the alternatives to poverty eradication strategies in the country by the government. Since then, several institutions have created to carry out the agenda of providing small loans to the low-income group to start up their small-scale business to generate more sources of income to support their household consumption. However, for a certain reason, the people still do not find microfinance an important tool to uplift their economic positions. Most of the low-income groups are still unaware of this golden opportunity tailored for them. Besides, the sustainability of these subsidized microfinance systems implemented by Malaysia had not been appropriately studied. This study explores the attractiveness of the products offered by microfinance institutions and emphasizes the option that the participants must start utilizing the product. This research also explores microfinance facilities that contain conventional finance element which is prohibited in Islamic trade. The study also discusses the measures and actions taken by microfinance institutions in serving the low-income group in Malaysia. This paper employs a qualitative method through interviews and content analysis. The report, journal publications, and other related documents were also analyzed in achieving the objectives. The study provides the impact that it may pave the way to an indistinct understanding of how Islamic microfinance institutions sustain their operations.


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