Impact of off-farm income on food security and nutrition in Nigeria

While the poverty implications of off-farm income have been analyzed in different developing countries, much less is known about the impact of off-farm income on household food security and nutrition. Here, this research gap is addressed by using farm survey data from Nigeria. Econometric analyses are employed to examine the mechanisms through which off-farm income affects household calorie and micronutrient supply, dietary quality, and child anthropometry. We find that off-farm income has a positive net effect on food security and nutrition. The prevalence of child stunting, underweight, and wasting is lower in households with off-farm income than in households without. Using a structural model, we also show that off-farm income contributes to higher food production and farm income by easing capital constraints, thus improving household welfare in multiple ways.     

You are what (and where) you eat: Capturing food away from home in welfare measures

Consumption of food away from home is rapidly growing across the developing world, and will continue to do so as GDP per person grows and food systems evolve. Surprisingly, the majority of household surveys have not kept up with its pace and still collect limited information on it. The implications for poverty and inequality measurement are far from clear, and the direction of the impact cannot be established a priori. This paper exploits rich data on food away from home collected as part of the National Household Survey in Peru, to shed light on the extent to which welfare measures differ depending on whether food away from home is accounted for or not. Peru is a relevant context, with the average Peruvian household spending over a quarter of their food budget on food away from home since 2010. The analysis indicates that failure to account for this consumption has important implications for poverty and inequality measures as well as the understanding of who the poor are. First, accounting for food away from home results in extreme poverty rates that are 18 percent higher and moderate poverty rates that are 16 percent lower. These results are also consistent, in fact more pronounced, with poverty gap and severity measures. Second, consumption inequality measured by the Gini coefficient decreases by 1.3 points when food away from home is included – a significant reduction. Finally, the inclusion of food away from home results in a reclassification of households across poor/non-poor status – 20 percent of the poor are different, resulting in small but significant differences in the profile of the poor in dimensions such as demographics, education, and labor market characteristics. Taken together, the results indicate that a serious rethinking of how to deal with the consumption of food away from home in measuring well-being is urgently needed to properly estimate and understand poverty around the world.     

Variation in retail costs for fresh vegetables and salty snacks across communities in the United States

Households living in different communities pay different amounts of money for food. Food costs depend on whether a household lives in an urban community or in a locality with a high incidence of poverty, among other factors. This study focuses on spatial variation across the United States in the retail costs for fresh vegetables and salty snacks. Findings reveal that the major economic and demographic characteristics of a household’s community affect its costs for these two types of foods differently. However, households are likely to pay more money for salty snacks in communities where fresh vegetables also cost more.     

The power of the vegetable patch: How home-grown food helps large rural households achieve economies of scale & escape poverty

This paper explores how the household’s capacity to grow food impacts their ability to achieve economies of scale in food consumption and how this impacts the geographic distribution of poverty across rural and urban areas. An accurate understanding of consumption economies of scale is vital for comparing poverty levels across households of varying size. Using Sri Lankan data on home-grown food consumption, we empirically confirm that such economies of scale exist and that large households tend to consume relatively more home-grown food than smaller households. The magnitude of these scale economies are found to be larger than those in market purchased food, but smaller than those found in housing expenditure. Consuming more home-grown food is also found to be positively correlated with per-capita calories consumed. Taking these effects into account in poverty estimates leads to a 15 per cent decline in the number of household who fall below the poverty line in rural regions.     

Impact of food inflation on poverty in the Philippines

We simulate the impact of food inflation between June 2006 and June 2008 on poverty across different areas and between agricultural and non-agricultural households. We explicitly treat the spatial heterogeneity in food inflation and the differences in consumption and production patterns across households by merging household expenditure survey and price datasets at the provincial level or lower. Although some of the poor agricultural households may have escaped poverty, the poorest of the poor, whether they are in an agricultural household or not, are severely and adversely affected by the food inflation.     

An unequal burden: Intra-household dimensions of seasonal health in Tanzania

Seasonal variation in nutritional status is a concern in sub-Saharan Africa. Seasonality in the food consumption of young Tanzanian children has a substantial and negative impact on later life outcomes. Seasonal variation in adult nutritional status has implications for labor productivity and prenatal health. Just as mean poverty status or mean health status varies within households, seasonal patterns in health status are likely to vary within households, as well as the mechanisms underlying seasonal variation. We parameterize and compare seasonality in nutritional status across multiple types of household members in rural, farming households in Tanzania, using a novel anthropometric measure of body mass index z-score that is comparable across adults and children. Young children not yet in school and working adults are most vulnerable to seasonal fluctuations in nutritional status. Children in school and older adults are relatively shielded. Seasonal variation in the nutritional status of working adults can be partly explained by variation in dietary quality and agricultural labor hours. Seasonal variation in the nutritional status of young children is not explained by either factor, nor is it mitigated by market access. Our results suggest we do not understand the data generating process behind seasonality in the nutritional status of young children, despite the critical implications of this seasonality for development and later life productivity.     

Agriculture reform and food crisis in Syria: Impacts on poverty and inequality

The paper pursues a twofold objective. From a methodological viewpoint it shows how to carry out an impacts evaluation of exogenous shocks on poverty and inequality in a context characterised by out-of-equilibrium, poorly-adjusting markets, as it is the case in many developing countries, using a social accounting matrix framework. From an empirical viewpoint it provides an assessment of how the cereal price spikes of 2007–2008 and the global recession of 2008–2009 have impacted the welfare of Syrian households and how did they compound with the on-going agricultural sector liberalisation implemented by the Government of Syria since mid 1990s. This will contribute to shed some lights on the economic background behind the spreading of unrest across the country over the last couple of years or so.The results show that liberalisation impacts are very different and largely affected by the adopted budget closure rules. While reforms aiming at reducing agricultural market distortions (such as production subsidies and price support for strategic crops) could generally have a positive effect on growth, poverty and inequality, the elimination of food security interventions (such as food stamp schemes) determines an adverse distributional impact against rural household and an increase of poverty. The recent macroeconomic shocks (food price crisis and the global recession) determined a generalised poverty increase and showed an income distribution bias against rural households.Three fundamental policy implications can be drawn by this study. First, the liberalisation of agricultural sector shows a significant growth potential and is likely to determine positive effects on poverty through a generalised increase of incomes as well as public budget savings that could be used for pursuing other policy goals. Second, in the short-run there is a structural trade-off between equity improvements and poverty alleviation: the policy options that will more likely reduce absolute poverty show undesirable distributive biases (both on overall inequality and on rural households vis-à-vis urban households). Third, the reform should include a careful design of the use of budget savings, mainly to address equity goals that are likely to be generated, in the short-run, by liberalisation.     

Universal food security program and nutritional intake: Evidence from the hunger prone KBK districts in Odisha

This article provides evidence on the role of consumer food subsidies in improving nutritional intake and diet quality by evaluating the expansion of the government food assistance program coverage in the hunger prone state of Odisha in India. In 8 districts of Odisha, popularly known as the Kalahandi-Balangir-Koraput (KBK) region which is notable for extreme poverty and starvation deaths, the government did away with the targeted food assistance program in 2008 and made the scheme universal. Using a Difference-in-Difference methodology over two repeated cross sectional household surveys, this article finds that the shift from targeted to a universal food security program in the KBK region of Odisha has led to an improvement in the household nutritional intake and diet quality. Further examination suggests that proportion of households consuming below the recommended dietary allowance of calorie, fats and protein has declined significantly in this region post the intervention.     

Women’s rank modifies the relationship between household and women’s food insecurity in complex households in northern Burkina Faso

This study examined the relationship between food insecurity at household and woman–children sub-unit levels and factors modifying this relationship in complex households in northern Burkina Faso. Data were collected from 126 households and 176 woman–children sub-units every 6 months from July 2001 to July 2003. Household food insecurity varied more between seasons than did woman–children sub-unit food insecurity. Woman–children sub-unit food insecurity increased when household food insecurity increased. Woman–children sub-units in monogamous households were less food insecure – and more at risk of becoming food insecure when the household became food insecure – than sub-units headed by women with first or second rank in polygamous households. Within polygamous households, woman–children sub-units headed by women with rank third or more were more likely to become food insecure when the household became food insecure than those with first or second rank. These results have implications for design, planning, and evaluation of programs and projects aiming to alleviate food insecurity in this and similar settings.     

Poverty effects of food price escalation: The importance of substitution effects in Mexican households

Recent food price increases reportedly caused significant numbers of households to fall into poverty, particularly in the developing world. Most research into the welfare effects of these food price changes assumes constant demand or approximates second order substitution effects. Poverty forecasts with these assumptions may overestimate or underestimate the effect of food price increases in a nation where most households consume diverse food baskets. We account for full substitution by calculating a theoretically consistent food demand system, accounting for household responses to food price changes by decreasing some food purchases and increasing other food purchases. We use Mexican data to confirm the mitigation of adverse welfare effects from food price increases after accounting for country-specific dietary preferences in modeling demand. In comparison to previous literature, our welfare measures predict theoretically consistent numbers of Mexican households entering poverty due to recent food price changes.     

Food price surges and poverty in urban Colombia: New evidence from household survey data

The present study simulates the impacts of price surges in 2006–2008 on poverty in the main Colombian cities drawing upon household survey data. It is found that the price surges increased both extreme and moderate poverty in urban areas, but the magnitude of poverty rise was not homogeneous across geographical locations or in terms of household characteristics, such as, education or gender of the household head. As a policy option we suggest “geographical targeting” or “demographic targeting” that will select and support poor households by locations or socio-demographic characteristics guided by the degree of household vulnerability to food price shocks.     

The impact of household food consumption data collection methods on poverty and inequality measures in Niger

Many countries are faced with the problem of monitoring poverty indicators when different food data collection methodologies have been used in national household surveys over the years. This paper provides a comprehensive analysis of this problem in the case of Niger. The paper assesses the impact of three methods of food data collection on the welfare distribution, and poverty and inequality measures in Niger. The study leverages a food consumption experiment to evaluate the three methods of food data collection implemented in the country’s most recent national household surveys. The first method was 7-day recall, the second was usual month, and the third was 7-day diary. The study finds that there was a large difference in measures of consumption and poverty between the first two methods (which yielded similar results) and the 7-day diary method. Annual per capita consumption from the 7-day recall method was, on average, 28 percent higher than that from the 7-day diary method. This gap exists not only at the mean of the distribution, but at every level. The observed differences in measured annual per capita consumption leads to differences in poverty and inequality measures even when alternate poverty lines are used.     

Are SNAP benefits adequate? A geographical and food expenditure decomposition

The Supplemental Nutrition Assistance Program (SNAP) provides resources to supplement household food expenditures in order to achieve a nutritious diet. Determining the amount of support required - or extent of food expenditure poverty -- entails comparing available resources for food to a nutrition-determined threshold. Clearly the value of the threshold will affect the degree of food expenditure poverty. If the threshold value is inaccurate, the calculated degree of poverty will be inaccurate. USDA uses a threshold for setting SNAP benefits that does not vary geographically or temporally, so consequently (food expenditure) poverty may be understated or overstated in different regions and time periods. This article compares food expenditure poverty estimates for SNAP participants when geographical differences in the threshold are ignored versus not ignored. In addition, the article decomposes household food expenditures into Food-Away-From-Home (FAFH), Food-at-Home (FAH), personal funded FAH, and SNAP funded FAH in order to assess the degree to which each of these contribute to reducing food expenditure poverty. The general findings are that all food expenditure poverty measures are worse when geographical differences are taken into account. In addition, the analysis shows that FAH expenditures, and in particular SNAP FAH expenditures, contribute the most to reducing food expenditure poverty in SNAP households. The policy implications are that food expenditure poverty is currently underestimated in the US by ignoring geographical differences in thresholds, but the food expenditure poverty would be even worse without SNAP benefits. Geographical adjustments to the national threshold could help reduce food expenditure poverty across regions.     

Cash transfers and nutrition: The role of market isolation after weather shocks

Cash transfers are a widely used policy instrument in Sub-Saharan Africa to shield vulnerable populations from malnutrition. In this paper, we focus on the role of local food markets after weather shocks as a facilitating factor for program impacts on nutrition. As food prices tend to be negatively correlated with households’ own production in isolated markets, we expect the purchasing power of cash transfers to decrease after harvest failures in such markets. To test this, we analyze the impact of Kenya’s Hunger Safety Net Programme during the 2011 drought in the Horn of Africa, considering the impacts on food consumption and the availability of macro- and micro-nutrients at the household level. We particularly focus on heterogeneous program impacts depending on the exposure to the drought, measured with satellite imagery, and impacts depending on the isolation of local food markets, approximated by price differences between community and wholesale maize prices. Our findings indicate that, despite some encouraging effects on proxy indicators, the program does not have significant impacts on nutrient availability on average. However, we do observe significant positive impacts for drought affected households in less isolated communities.     

Estimates of returns to scale,elasticity of substitution,and the thrifty food plan meal poverty rate from a direct household meal production function

Many nutritional policies are designed to make home food production more affordable and yet very little is actually known about the home food production process. A better understanding of home food production can be used to help explain shortcomings in current nutrition policies and consequently help in designing better nutrition policies. This paper provides results from several home meal production function specifications that are rather robust. The median returns to scale and elasticity of substitution between money and time is in the 1.2–1.9 range and .33–.56 range, respectively, indicating increasing returns to scale but difficulty in substituting money for time in home meal production. A home ‘meal poverty rate’ is estimated, which is the percentage of the sample that produces fewer meals at home than consistent with dietary guidelines. The estimated home meal poverty rate is about 85%, which is consistent with recent research taking a less rigorous approach. Though the approach taken here is novel, the overall message is consistent with the recent literature: time is a more important factor in achieving nutritional targets than money.     

Differences in food insecurity between adults and children in Zimbabwe

Food insecurity is a serious challenge facing millions of households across Africa. Within these households, distinguishing the incidence of food insecurity between adults and children is often difficult because most surveys rely on the reports of adults. In this paper, we address this shortcoming of previous work by using a survey from over 6000 households in Zimbabwe where interviews were conducted with both an adult caregiver and a child. Using two measures of food insecurity, we find that reports of adults and children differ within households with lower reports of food insecurity among children, with children in the youngest age groups particularly being protected from food shortages. An exception to this general rule, though, is in better-off households where children are often more likely to be food insecure than adults. Findings also demonstrate the need for multiple measures to comprehensively capture the full picture of food insecurity in the household.     

Food counts. Measuring food consumption and expenditures in household consumption and expenditure surveys (HCES). Introduction to the special issue

This introductory paper presents the results of an international multi-disciplinary research project on the measurement of food consumption in national household surveys. Food consumption data from household surveys are possibly the single most important source of information on poverty, food security, and nutrition outcomes at national, sub-national and household level, and contribute building blocks to global efforts to monitor progress towards the major international development goals.The paper synthesizes case studies from a diverse set of developing and OECD countries, looking at some of the main outstanding research issues as identified by a recent international assessment of 100 existing national household surveys (Smith et al., 2014). The project mobilized expertise from different disciplines (statistics, economics, food security, nutrition) to work towards enhancing our understanding of how to improve the quality and availability of food consumption and expenditure data, while making them more valuable for a diverse set of users. The individual studies summarized in this paper analyze, both theoretically and empirically, how different surveys design options affect the quality of the data being collected and, in turn, the implications for statistical inference and policy analysis.The conclusions and recommendations derived from this collection of studies will be instrumental in advancing the methodological agenda for the collection of household level food data, and will provide national statistical offices and survey practitioners worldwide with practical insights for survey design, while providing poverty, food and nutrition policymakers with greater understanding of these issues, as well as improved tools for and better guidance in policy formulation.     

Private production and income distribution in a Chinese commune

This article is concerned with the extent of inequality between production teams and between households in one commune in the People's Republic of China, and particularly with the effect of income from private production on the distribution of total household income. The authors briefly describe the history and role of private production within the commune system, and report the findings of household a survey conducted to discover the flows of food commodities from both private and collective sources. The authors conclude that private production is not a source of inequality in this commune.     

Supermarket contracts and smallholder farmers: Implications for income and multidimensional poverty

Food systems in developing countries are changing rapidly with a growing role of modern supermarkets. Supermarkets influence supply chains and the way agricultural products are sourced from farmers. Especially for the procurement of fresh fruits and vegetables, supermarkets often contract farmers directly to ensure consistent and high-quality supply. One important question, which is addressed here, is whether smallholder farmers benefit from supermarket contracts. Previous studies address this question, but mostly focus on income effects without exploring implications for other dimensions of household welfare, such as nutrition, health, or housing conditions. Moreover, most existing studies rely on cross-section data. We add to the literature by analyzing effects of supermarket contracts on income and multidimensional poverty using three rounds of panel data collected from smallholder vegetable farmers in Kenya and econometric models with household fixed effects. On average, supermarket contracts increase household income by over 40%. We also find significant reductions in income poverty and multidimensional poverty. Quantile regressions show that farmers in all income groups benefit, but richer households benefit more than poorer ones in absolute terms. However, supermarket contracts cause the strongest reductions in multidimensional deprivations among the poorest households.     

The impacts of hybrid maize seed on the welfare of farming households in Kenya

This paper explores the impacts of hybrid maize adoption on the welfare of farming households in Kenya. We use a four-year panel dataset to estimate the effects of hybrid seed use on four indicators of household welfare, namely, income, assets, inequality and poverty. Results show that use of hybrid seed not only contributes to higher annual income, but also to raising the value of assets, possibly reflecting longer-term welfare effects. Further, we find that use of hybrid seed reduces the depth of poverty, and that the amount planted reduces inequality. As expected, impacts differ between major and minor maize-growing areas of the country. Maize farmers who do not use hybrid seed are clearly disadvantaged. This calls for continued public and private investments in the infrastructure and policy process that supports a competitive, liberalized seed industry and improved access of smallholder farmers to well-adapted, affordable hybrids.