Food Aid Disincentives: the Tunisian Experience

Bezuneh, Mesfin; Deaton, Brady J.; Zuhair, Segu

doi:10.1111/1467-9361.00212

Cited by 10 publications

(5 citation statements)

References 22 publications

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“…This, in turn, reduces health status in adulthood, and subsequently the rate of economic growth. The positive growth effect of in-kind aid is in line with the evidence provided by Bezuneh et al (2003), who find a sustained 1% increase in food aid to promote per capita income growth by about US$ 2 in Tunisia. The effect of per adult aid, on the other hand, finds support in Azarnert (2008), which, as described before, reduces human capital accumulation and growth.…”

Section: Fertility Time Allocation and Growthsupporting

confidence: 86%

Humanitarian Aid, Fertility and Economic Growth

Neanidis

2010

Economica

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This paper examines the effect of humanitarian aid on fertility and economic growth. In an overlapping generations model, where health status in adulthood depends on health in childhood, adult agents allocate their time to work, leisure and childrearing activities. Humanitarian aid influences the probability of survival to adulthood, health in childhood, and the time that adults allocate to childrearing, giving rise to an ambiguous effect on both fertility and growth. An empirical investigation for the period 1973-2007 suggests that humanitarian aid has on average a zero effect on the rates of fertility and of per capita output growth.

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Section: Fertility Time Allocation and Growthsupporting

confidence: 86%

Humanitarian Aid, Fertility and Economic Growth

Neanidis

2010

Economica

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“…In addition, food aid had positive net effects on food production, offsetting any negative disincentive effects from the additional supply of food. Similar results are obtained by Bezuneh et al (2003), Barrett et al (1999) and Tschirley et al (1996). Abdulai et al (2005) instead use household-level observations for rural Ethiopia to investigate whether there is a disincentive effect of food aid on domestic food production.…”

Section: Introductionsupporting

confidence: 58%

Why do some countries have a long‐term dependence on food aid?

Moore

Stanford²

2010

Journal of Economic Studies

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Purpose -The purpose of this paper is to investigate the main determinants of dependency on food aid programmes. Food aid may take the form of a loan, a sale below market price or a current transfer. Food aid programmes across the globe are generally designed to provide short-term assistance to countries. However, many countries have developed a dependence on food aid assistance. Design/methodology/approach -The paper estimates cross-sectional regressions using a database containing 116 developing countries over the period 1970-2003. Bayesian averaging of classical estimates is employed to identify the robust determinants of dependency. Findings -The study finds that the top two determinants of food aid dependence (both cereals and non-cereals) were food production and the frequency of droughts affecting the country. Food inflation, population density, crop yields, the amount of arable land per capita, the rule of law and the number of armed conflicts were also robustly related to aid dependence. Practical implications -These findings suggest that international donors should focus primarily on offsetting the substitution effect of aid on local production as well as implement systems to partially offset the negative effects of droughts, if they are to break the cycle of dependence on food aid. Originality/value -Previous studies have investigated the effects of a large number of other variables. The findings from these papers were somewhat conflicting due to differences in model specification. To identify the variables that have a robust relationship with food aid dependence, whatever the model specification, the Bayesian averaging of classical estimates approach proposed by Sala-i-Martin et al. is employed.

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“…They explained the result as the contribution of income from food aid in relaxing factor market constraints, and particularly financial liquidity constraints that often limit food production in Africa. Bezuneh et al (2003) examined the short-term, interim and cumulative effects of food aid on Tunisia agriculture. They found a positive impact.…”

Section: The 'Incentive Effect' Of Food Aidmentioning

confidence: 99%