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The Dynamic Effects of U.S. Food Aid

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  • Barrett, Christopher B
  • Mohapatra, Sandeep
  • Snyder, Donald L

Abstract

Although food aid may have important medium- to long-term effects, there is a glaring absence of empirical research on food aid dynamics. This paper applies vector autoregression methods to data from 18 countries over the period 1961-95. We find evidence that food aid has a pronounced J-curve effect on recipient country per capita commercial food imports but only negligible negative effects on recipient country per capita food production. The commercial export gains are primarily enjoyed, however, by the donors' competitors, revealing heretofore unrecognized positive pecuniary trade externalities associated with foreign assistance. Copyright 1999 by Oxford University Press.

Suggested Citation

  • Barrett, Christopher B & Mohapatra, Sandeep & Snyder, Donald L, 1999. "The Dynamic Effects of U.S. Food Aid," Economic Inquiry, Western Economic Association International, vol. 37(4), pages 647-656, October.
    • Handle: RePEc:oup:ecinqu:v:37:y:1999:i:4:p:647-56
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    1. Abbott, Philip C. & McCarthy, F. Desmond, 1982. "Welfare effects of tied food aid," Journal of Development Economics, Elsevier, vol. 11(1), pages 63-79, August.
    2. Christopher B. Barrett, 1998. "Food Aid: Is It Development Assistance, Trade Promotion, Both, or Neither?," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 80(3), pages 566-571.
    3. Blanchard, Olivier Jean, 1989. "A Traditional Interpretation of Macroeconomic Fluctuations," American Economic Review, American Economic Association, vol. 79(5), pages 1146-1164, December.
    4. Mohapatra, Sandeep & Barrett, Christopher B. & Snyder, Donald L. & Biswas, Baudeb, 1999. "Does Food Aid Really Discourage Food Production?," Indian Journal of Agricultural Economics, Indian Society of Agricultural Economics, vol. 54(2), June.
    5. Theodore W. Schultz, 1960. "Value of U.S. Farm Surpluses to Underdeveloped Countries," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 42(5), pages 1019-1030.
    6. Barrett, Christopher B & Mohapatra, Sandeep & Snyder, Donald L, 1999. "The Dynamic Effects of U.S. Food Aid," Economic Inquiry, Western Economic Association International, vol. 37(4), pages 647-656, October.
    7. Maxwell, S. J. & Singer, H. W., 1979. "Food aid to developing countries: A survey," World Development, Elsevier, vol. 7(3), pages 225-246, March.
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    Cited by:

    1. Barrett, Christopher B., 2006. "Food aid's intended and unintended consequences," ESA Working Papers 289062, Food and Agriculture Organization of the United Nations, Agricultural Development Economics Division (ESA).
    2. Akiko Suwa-Eisenmann & Thierry Verdier, 2007. "Aid and trade," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 23(3), pages 481-507, Autumn.
    3. Mary, Sébastien & Saravia-Matus, Silvia & Gomez y Paloma, Sergio, 2018. "Does nutrition-sensitive aid reduce the prevalence of undernourishment?," Food Policy, Elsevier, vol. 74(C), pages 100-116.
    4. Marie-Francoise Calmette & Maureen Kilkenny, 2012. "Rural roads versus African famines," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 49(2), pages 373-396, October.
    5. Ferrière, Nathalie & Suwa-Eisenmann, Akiko, 2015. "Does Food Aid Disrupt Local Food Market? Evidence from Rural Ethiopia," World Development, Elsevier, vol. 76(C), pages 114-131.
    6. Tilman Brück & Oscar Mauricio Díaz Botía & Neil T. N. Ferguson & Jérôme Ouédraogo & Zacharias Ziegelhöfer, 2019. "Assets for Alimentation? The Nutritional Impact of Assets-based Programming in Niger," Journal of Development Studies, Taylor & Francis Journals, vol. 55(S1), pages 55-74, December.
    7. Chen, Bowen & Villoria, Nelson B., 2018. "Food Price Variability and Import Dependence: A Country Panel Analysis," 2018 Annual Meeting, August 5-7, Washington, D.C. 274285, Agricultural and Applied Economics Association.
    8. Barrett, Christopher B & Mohapatra, Sandeep & Snyder, Donald L, 1999. "The Dynamic Effects of U.S. Food Aid," Economic Inquiry, Western Economic Association International, vol. 37(4), pages 647-656, October.
    9. Lentz, Erin C. & Barrett, Christopher B., 2008. "Improving Food Aid: What Reforms Would Yield the Highest Payoff?," World Development, Elsevier, vol. 36(7), pages 1152-1172, July.
    10. Gao, Simin & Kirwan, Barrett E., 2017. "Does U.S. Food Aid Crowd Out Local Food Production?," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 258406, Agricultural and Applied Economics Association.
    11. Alix-Garcia, Jennifer & Walker, Sarah & Bartlett, Anne & Onder, Harun & Sanghi, Apurva, 2018. "Do refugee camps help or hurt hosts? The case of Kakuma, Kenya," Journal of Development Economics, Elsevier, vol. 130(C), pages 66-83.
    12. Jan Fałkowski, 2018. "U.S. food aid and American exports to recipient countries during the Cold War," Agricultural Economics, International Association of Agricultural Economists, vol. 49(5), pages 659-668, September.
    13. Kiawu, James & Jones, Keithly G, 2013. "Implications of food aid and remittances for West African food import demand," African Journal of Agricultural and Resource Economics, African Association of Agricultural Economists, vol. 8(1), pages 1-15, July.
    14. Mesfin Bezuneh & Brady Deaton & Segu Zuhair, 2003. "Food Aid Disincentives: the Tunisian Experience," Review of Development Economics, Wiley Blackwell, vol. 7(4), pages 609-621, November.
    15. Max Blouin & Stéphane Pallage, 2008. "Humanitarian Relief and Civil Conflict," Journal of Conflict Resolution, Peace Science Society (International), vol. 52(4), pages 548-565, August.
    16. Barrett, Christopher B., 2002. "Food Aid Effectiveness: "It'S The Targeting, Stupid!"," Working Papers 14754, Cornell University, Department of Applied Economics and Management.
    17. Abdulai, Awudu & Barrett, Christopher B. & Hoddinott, John, 2005. "Does food aid Really have disincentive effects? New evidence from sub-Saharan Africa," World Development, Elsevier, vol. 33(10), pages 1689-1704, October.
    18. Cardwell, Ryan T., 2008. "Food Aid and the WTO: Can New Rules Be Effective?," Estey Centre Journal of International Law and Trade Policy, Estey Centre for Law and Economics in International Trade, vol. 9(1), pages 1-20.
    19. Abdulai, Awudu & Barrett, Christopher B. & Hazell, Peter, 2004. "Food aid for market development in Sub-Saharan Africa," DSGD discussion papers 5, International Food Policy Research Institute (IFPRI).
    20. Janzen, Joseph, 2015. "The Effect of U.S. International Food Aid on Prices for Dry Peas and Lentils," 2015 Conference, August 9-14, 2015, Milan, Italy 211797, International Association of Agricultural Economists.
    21. Barrett, C. B. & Heisey, K. C., 2002. "How effectively does multilateral food aid respond to fluctuating needs?," Food Policy, Elsevier, vol. 27(5-6), pages 477-491.
    22. Barrett, Christopher B., 2002. "Food Aid And Commercial International Food Trade," Working Papers 14742, Cornell University, Department of Applied Economics and Management.
    23. Suwa-Eisenmann, Akiko & Verdier, Thierry, 2005. "Policy coherence for development: trade policies," CEPREMAP Working Papers (Docweb) 0519, CEPREMAP.
    24. Titus O. Awokuse, 2006. "Assessing the Impact of Food Aid on Recipient Countries: A Survey," Working Papers 06-11, Agricultural and Development Economics Division of the Food and Agriculture Organization of the United Nations (FAO - ESA).
    25. Alessandro De Matteis & Fethiye Burcu Turkmen Ceylan & Bereket Kebede, 2021. "Market resilience in times of crisis: The case of Darfur," Review of Development Economics, Wiley Blackwell, vol. 25(3), pages 1107-1127, August.

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