A Food Demand System Estimation for Rural Malawi: Estimates Using Third Integrated Household Survey Data (original) (raw)
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How households adjust their consumption in response to changes in prices and income is crucial determinant of the effects of various shocks to market prices and commodity supplies. These adjustments in demand are particularly significant in Ethiopia, where many households consume inadequate quantities of calories, protein and other nutrients. Household consumption behaviour in the country is also rather complex. Regional consumption patterns differ considerably with no single staple dominating. Instead, four different cereals (teff, wheat, maize and sorghum) are major staples in parts of the country and even within most regions, two or more food staples account for relatively large shares of total calories and food expenditures1.
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World Nutrition, 2023
Background Global challenges of hunger, food insecurity, and malnutrition persist, with nearly one in three people lacking sufficient food access. The COVID-19 pandemic exacerbated these issues, particularly in Africa, where 59.6% of the population grapples with food insecurity. Malawi faces high stunting and anaemia rates in children, driven by poverty, inadequate health services, and improper diet. Despite progress, the prevalence remains above regional averages. Research reveals imbalanced diets in Malawi, primarily reliant on maize, risking micronutrient deficiencies. This study examines diet affordability in the context of rising costs and low incomes, aiming to influence policy in addressing undernutrition in Malawi and highlighting the overlooked role of affordability in nutrition access. Objectives This assessment aimed to estimate the minimum cost of a nutritious diet using locally available and culturally acceptable food items in Malawi. The objective was to explore how economic constraints affect Malawian households, particularly the poor and ultra-poor, in accessing such diets. Additionally, it sought answers to questions about cost changes over 12 months and affordability among different wealth groups in the country. Methods This study involved secondary data analysis by employing the Cost of the Diet (CotD) research method and software. The World Food Programme’s Minimum Expenditure Basket (MEB) provided monthly food prices for 28 items from April 2021 to March 2022. Comparing the cost of a nutritious diet with per capita income from the Malawi Poverty Report, we estimated the affordability gap. Food price data was from 77 markets in 25 districts, ensuring national representation. Results The annual cost of a culturally acceptable nutritious diet for a five-person household from April 2021 to March 2022 was MWK 84,658/month (≈$103). The diet’s cost increased by 25% during the period, from MWK 2,519 to MWK 3,140 per day. Only average urban households had sufficient income to afford the diet, with a 9.7% surplus. Ultra-poor, poor, rural, and average Malawian households faced affordability gaps of 139.5%, 61.4%, 48.5%, and 32%, respectively. Closing the affordability gap would require additional monthly income of 29,134 kwacha (≈$35.5) for an average Malawian household, 37,481 kwacha for a typical rural household, 42,452 kwacha for a poor household, and 58,885 kwacha for an ultra-poor household. Conclusion The CotD assessment revealed a significant increase in the cost of a nutritious diet over the past 12 months. Most of the population cannot afford the cheapest nutritious diet. The recent currency devaluation may worsen the situation. Cash, voucher or food distribution could help close the affordability gap for poor and ultra-poor households. Regular monitoring and ongoing updates of the CotD results are necessary for informed decision-making.
Analysis Food Demand of Java Households with Aids Model Estimates
Media Ekonomi dan Manajemen, 2022
The quantity and quality of food consumed by the community are determined by the price level and household income. Household food expenditure share is still dominated by rice commodities. The aims of this study are 1) to analyze the level of household expenditure on food in Java and (2) to analyze the expenditure elasticity and price elasticity of household food demand in Java. The data used was March 2015, 2016, and 2017 SUSENAS data. Household consumption data was estimated using the AIDS Model. The results showed that household food expenditure share for medium and low-income groups (Q3 and Q4) for urban and rural areas was more than 50 percent. This shows that the household is food insecure. The own-price elasticity for all commodities is negative and inelastic. Changes in food prices do not significantly affect changes in demand for food commodities because their elasticity is inelastic. Household food demand is more influenced by food prices than household income for food comm...