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Does Food Aid Really Discourage Food Production?

Year: 1998

Type: article

Abstract: We examine whether food aid necessarily acts as a disincentive to food production in recipient economies. Since structural deficiencies of markets are a central reason why low-income agrarian economies receive food aid, we adopt a modeling framework that accommodates incomplete or imperfect markets. This simple, nonseparable, representative household model highlights the factor market effects of food aid overlooked in conventional, Schultzian analyses and, thus, the ambiguous effects of food aid on food production incentives in recipient economies.

Source: INDIAN JOURNAL OF AGRICULTURAL ECONOMICS

DOI: 10.22004/ag.econ.28369

Authors: Mohapatra, Sandeep, Barrett, Christopher B., Snyder, Donald L., Biswas, Basudeb

Institution: Utah State University

Language: English

Topic: International Development and Aid

Subfield: Development

Field: Social Sciences

Domain: Social Sciences

SDGs: Zero hunger, No poverty, Decent work and economic growth

Open Access status: green

Funders: Utah State University, Utah Agricultural Experiment Station