Can We Rely on Cash Transfers to Protect Dietary Diversity during Food Crises? Estimates from Indonesia

The 2008 "food price crisis" and more recent spikes in food prices have led to a greater focus on policies and programs to cushion their impact on poverty and malnutrition. Estimating the income elasticity of micro-nutrients and assessing...

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Bibliographic Details
Main Authors: Skoufias, Emmanuel, Tiwari, Sailesh, Zaman, Hassan
Format: Policy Research Working Paper
Language:English
Published: 2012
Subjects:
CA
Online Access:http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20110124140944
http://hdl.handle.net/10986/3319
id okr-10986-3319
recordtype oai_dc
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic ADVERSE EFFECTS
AGGREGATE MEASURE
AGRICULTURAL COMMODITIES
AGRICULTURAL ECONOMICS
AGRICULTURAL PRODUCTION
ASCORBIC ACID
CA
CALCIUM
CALORIE INCOME
CALORIE INTAKE
CARBOHYDRATE
CARBOHYDRATES
CAROTENE
CASH TRANSFER PROGRAMS
CASH TRANSFERS
CEREALS
CHEAPER FOOD
CONSUMER GOODS
CONSUMER PRICE INDEX
CONSUMPTION EXPENDITURES
COOKING
CROSS-SECTIONAL DATA
DAIRY
DATA SET
DEMAND FOR FOOD
DEVELOPING WORLD
DEVELOPMENT ECONOMICS
DEVELOPMENT POLICY
DIET
DIETARY INTAKES
DRINKING WATER
ECONOMETRICS
ECONOMIC DEVELOPMENT
ECONOMIC RESEARCH
ECONOMIC REVIEW
ECONOMIC SHOCKS
ECONOMIC STUDIES
ECONOMIC SURVEYS
ECONOMIC THEORY
ECONOMIES OF SCALE
EGGS
ELASTICITY
EMPIRICAL ANALYSIS
EMPIRICAL EVIDENCE
ENGEL CURVE
ENGEL CURVES
ESSENTIAL NUTRIENTS
FARM HOUSEHOLDS
FATS
FEEDING PROGRAMS
FINANCIAL CRISIS
FOOD CONSUMPTION
FOOD DISTRIBUTION
FOOD EXPENDITURE
FOOD EXPENDITURES
FOOD INTAKE
FOOD ITEMS
FOOD POLICY
FOOD POLICY RESEARCH
FOOD PREFERENCES
FOOD PRICE
FOOD PRICE INDEX
FOOD PRICES
FOOD SECURITY
FOOD SHARE
FOOD TRANSFERS
FRUITS
FUTURE RESEARCH
GRAINS
HETEROSKEDASTICITY
HIGH CONCENTRATION
HOUSEHOLD BUDGET
HOUSEHOLD COMPOSITION
HOUSEHOLD CONSUMPTION
HOUSEHOLD FOOD INSECURITY
HOUSEHOLD HEAD
HOUSEHOLD INCOME
HOUSEHOLD SIZE
HOUSEHOLD SURVEY
HOUSEHOLD SURVEYS
HOUSEHOLD WELFARE
HUNGER
IMPACT ON POVERTY
INCIDENCE OF POVERTY
INCOME DISTRIBUTION
INCOME EFFECT
INCOME ELASTICITY
INCOME ELASTICITY OF DEMAND
INCOME GROUPS
INCOME ON FOOD
INCOME SUPPORT
INCOMES
INEQUALITY
INFLATION RATE
INSURANCE
INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE
IRON
LINEAR REGRESSION
MALNUTRITION
MEASUREMENT ERROR
MEASUREMENT ERRORS
MEAT
MICRONUTRIENTS
NEGATIVE SIGN
NOMINAL INCOME
0 HYPOTHESIS
NUTRIENT
NUTRIENT CONTENT
NUTRITION POLICY
NUTRITIONAL OUTCOMES
NUTRITIONAL STATUS
NUTRITIONAL SUPPLEMENTATION
PER CAPITA CONSUMPTION
POLICY ANALYSIS
POLICY DISCUSSIONS
POLICY PERSPECTIVE
POLITICAL ECONOMY
POOR
POOR HOUSEHOLDS
POOR PEOPLE
POOR RURAL HOUSEHOLDS
POVERTY IMPACT
POVERTY LINE
POVERTY REDUCTION
PREPARED FOODS
PRICE CHANGES
PRICE INCREASES
PRICE SUBSIDIES
PROTEIN
PULSES
PURCHASING POWER
REAL INCOME
REGIONAL INEQUALITY
REGRESSION ANALYSIS
RELATIVE PRICES
RICE
RURAL
RURAL AREAS
RURAL CONSUMERS
SAFETY NET PROGRAMS
SEASONINGS
SIGNIFICANT DIFFERENCES
SIGNIFICANT IMPACT
SMOOTHING CONSUMPTION
SOCIAL SAFETY
SOFT DRINKS
STAPLE FOODS
STARCHES
SUPPLEMENTARY FEEDING
TRANSACTION COSTS
TUBERS
UNDERNUTRITION
VEGETABLES
VITAMIN
VITAMIN A
VITAMIN B
VITAMIN C
VITAMINS
spellingShingle ADVERSE EFFECTS
AGGREGATE MEASURE
AGRICULTURAL COMMODITIES
AGRICULTURAL ECONOMICS
AGRICULTURAL PRODUCTION
ASCORBIC ACID
CA
CALCIUM
CALORIE INCOME
CALORIE INTAKE
CARBOHYDRATE
CARBOHYDRATES
CAROTENE
CASH TRANSFER PROGRAMS
CASH TRANSFERS
CEREALS
CHEAPER FOOD
CONSUMER GOODS
CONSUMER PRICE INDEX
CONSUMPTION EXPENDITURES
COOKING
CROSS-SECTIONAL DATA
DAIRY
DATA SET
DEMAND FOR FOOD
DEVELOPING WORLD
DEVELOPMENT ECONOMICS
DEVELOPMENT POLICY
DIET
DIETARY INTAKES
DRINKING WATER
ECONOMETRICS
ECONOMIC DEVELOPMENT
ECONOMIC RESEARCH
ECONOMIC REVIEW
ECONOMIC SHOCKS
ECONOMIC STUDIES
ECONOMIC SURVEYS
ECONOMIC THEORY
ECONOMIES OF SCALE
EGGS
ELASTICITY
EMPIRICAL ANALYSIS
EMPIRICAL EVIDENCE
ENGEL CURVE
ENGEL CURVES
ESSENTIAL NUTRIENTS
FARM HOUSEHOLDS
FATS
FEEDING PROGRAMS
FINANCIAL CRISIS
FOOD CONSUMPTION
FOOD DISTRIBUTION
FOOD EXPENDITURE
FOOD EXPENDITURES
FOOD INTAKE
FOOD ITEMS
FOOD POLICY
FOOD POLICY RESEARCH
FOOD PREFERENCES
FOOD PRICE
FOOD PRICE INDEX
FOOD PRICES
FOOD SECURITY
FOOD SHARE
FOOD TRANSFERS
FRUITS
FUTURE RESEARCH
GRAINS
HETEROSKEDASTICITY
HIGH CONCENTRATION
HOUSEHOLD BUDGET
HOUSEHOLD COMPOSITION
HOUSEHOLD CONSUMPTION
HOUSEHOLD FOOD INSECURITY
HOUSEHOLD HEAD
HOUSEHOLD INCOME
HOUSEHOLD SIZE
HOUSEHOLD SURVEY
HOUSEHOLD SURVEYS
HOUSEHOLD WELFARE
HUNGER
IMPACT ON POVERTY
INCIDENCE OF POVERTY
INCOME DISTRIBUTION
INCOME EFFECT
INCOME ELASTICITY
INCOME ELASTICITY OF DEMAND
INCOME GROUPS
INCOME ON FOOD
INCOME SUPPORT
INCOMES
INEQUALITY
INFLATION RATE
INSURANCE
INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE
IRON
LINEAR REGRESSION
MALNUTRITION
MEASUREMENT ERROR
MEASUREMENT ERRORS
MEAT
MICRONUTRIENTS
NEGATIVE SIGN
NOMINAL INCOME
0 HYPOTHESIS
NUTRIENT
NUTRIENT CONTENT
NUTRITION POLICY
NUTRITIONAL OUTCOMES
NUTRITIONAL STATUS
NUTRITIONAL SUPPLEMENTATION
PER CAPITA CONSUMPTION
POLICY ANALYSIS
POLICY DISCUSSIONS
POLICY PERSPECTIVE
POLITICAL ECONOMY
POOR
POOR HOUSEHOLDS
POOR PEOPLE
POOR RURAL HOUSEHOLDS
POVERTY IMPACT
POVERTY LINE
POVERTY REDUCTION
PREPARED FOODS
PRICE CHANGES
PRICE INCREASES
PRICE SUBSIDIES
PROTEIN
PULSES
PURCHASING POWER
REAL INCOME
REGIONAL INEQUALITY
REGRESSION ANALYSIS
RELATIVE PRICES
RICE
RURAL
RURAL AREAS
RURAL CONSUMERS
SAFETY NET PROGRAMS
SEASONINGS
SIGNIFICANT DIFFERENCES
SIGNIFICANT IMPACT
SMOOTHING CONSUMPTION
SOCIAL SAFETY
SOFT DRINKS
STAPLE FOODS
STARCHES
SUPPLEMENTARY FEEDING
TRANSACTION COSTS
TUBERS
UNDERNUTRITION
VEGETABLES
VITAMIN
VITAMIN A
VITAMIN B
VITAMIN C
VITAMINS
Skoufias, Emmanuel
Tiwari, Sailesh
Zaman, Hassan
Can We Rely on Cash Transfers to Protect Dietary Diversity during Food Crises? Estimates from Indonesia
geographic_facet East Asia and Pacific
East Asia and Pacific
Southeast Asia
Asia
Indonesia
relation Policy Research working paper ; no. WPS 5548
description The 2008 "food price crisis" and more recent spikes in food prices have led to a greater focus on policies and programs to cushion their impact on poverty and malnutrition. Estimating the income elasticity of micro-nutrients and assessing how they change during such crises is an important part of the policy debate as it affects the effectiveness of cash transfer and nutritional supplementation programs. This paper assesses these issues using data from two cross-sectional household surveys in Indonesia carried out before and soon after the 1997/98 economic crisis, which led to a sharp increase in food prices. First, the authors examine how the income elasticity of the starchy staple ratio differs between the two survey rounds using non-parametric as well as regression methods. Second, they provide updated estimates of the income elasticity for important nutrients in Indonesia. The analysis finds that (i) summary measures such as the income elasticity of the starchy staple ratio may not change during crises but this masks important differences across specific nutrients; (ii) methods matter -- the ordinary least squares estimates for the income elasticity of micro-nutrients are likely to be misleading due to measurement error bias; (iii) controlling for measurement error, the income elasticity of some key micro-nutrients, such as iron, calcium, and vitamin B1, is significantly higher in the crisis year compared with a normal year; and (iv) the income elasticity for certain micro-nutrients -- vitamin C in this case -- remains close to zero. These results suggest that cash transfer programs may be even more effective during crises to protect the consumption of many essential micro-nutrients compared with non-crisis periods but in order to ensure that all micro-nutrients are consumed, specific nutritional supplementation programs are also likely to be required.
format Publications & Research :: Policy Research Working Paper
author Skoufias, Emmanuel
Tiwari, Sailesh
Zaman, Hassan
author_facet Skoufias, Emmanuel
Tiwari, Sailesh
Zaman, Hassan
author_sort Skoufias, Emmanuel
title Can We Rely on Cash Transfers to Protect Dietary Diversity during Food Crises? Estimates from Indonesia
title_short Can We Rely on Cash Transfers to Protect Dietary Diversity during Food Crises? Estimates from Indonesia
title_full Can We Rely on Cash Transfers to Protect Dietary Diversity during Food Crises? Estimates from Indonesia
title_fullStr Can We Rely on Cash Transfers to Protect Dietary Diversity during Food Crises? Estimates from Indonesia
title_full_unstemmed Can We Rely on Cash Transfers to Protect Dietary Diversity during Food Crises? Estimates from Indonesia
title_sort can we rely on cash transfers to protect dietary diversity during food crises? estimates from indonesia
publishDate 2012
url http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20110124140944
http://hdl.handle.net/10986/3319
_version_ 1764386788861804544
spelling okr-10986-33192021-04-23T14:02:08Z Can We Rely on Cash Transfers to Protect Dietary Diversity during Food Crises? Estimates from Indonesia Skoufias, Emmanuel Tiwari, Sailesh Zaman, Hassan ADVERSE EFFECTS AGGREGATE MEASURE AGRICULTURAL COMMODITIES AGRICULTURAL ECONOMICS AGRICULTURAL PRODUCTION ASCORBIC ACID CA CALCIUM CALORIE INCOME CALORIE INTAKE CARBOHYDRATE CARBOHYDRATES CAROTENE CASH TRANSFER PROGRAMS CASH TRANSFERS CEREALS CHEAPER FOOD CONSUMER GOODS CONSUMER PRICE INDEX CONSUMPTION EXPENDITURES COOKING CROSS-SECTIONAL DATA DAIRY DATA SET DEMAND FOR FOOD DEVELOPING WORLD DEVELOPMENT ECONOMICS DEVELOPMENT POLICY DIET DIETARY INTAKES DRINKING WATER ECONOMETRICS ECONOMIC DEVELOPMENT ECONOMIC RESEARCH ECONOMIC REVIEW ECONOMIC SHOCKS ECONOMIC STUDIES ECONOMIC SURVEYS ECONOMIC THEORY ECONOMIES OF SCALE EGGS ELASTICITY EMPIRICAL ANALYSIS EMPIRICAL EVIDENCE ENGEL CURVE ENGEL CURVES ESSENTIAL NUTRIENTS FARM HOUSEHOLDS FATS FEEDING PROGRAMS FINANCIAL CRISIS FOOD CONSUMPTION FOOD DISTRIBUTION FOOD EXPENDITURE FOOD EXPENDITURES FOOD INTAKE FOOD ITEMS FOOD POLICY FOOD POLICY RESEARCH FOOD PREFERENCES FOOD PRICE FOOD PRICE INDEX FOOD PRICES FOOD SECURITY FOOD SHARE FOOD TRANSFERS FRUITS FUTURE RESEARCH GRAINS HETEROSKEDASTICITY HIGH CONCENTRATION HOUSEHOLD BUDGET HOUSEHOLD COMPOSITION HOUSEHOLD CONSUMPTION HOUSEHOLD FOOD INSECURITY HOUSEHOLD HEAD HOUSEHOLD INCOME HOUSEHOLD SIZE HOUSEHOLD SURVEY HOUSEHOLD SURVEYS HOUSEHOLD WELFARE HUNGER IMPACT ON POVERTY INCIDENCE OF POVERTY INCOME DISTRIBUTION INCOME EFFECT INCOME ELASTICITY INCOME ELASTICITY OF DEMAND INCOME GROUPS INCOME ON FOOD INCOME SUPPORT INCOMES INEQUALITY INFLATION RATE INSURANCE INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE IRON LINEAR REGRESSION MALNUTRITION MEASUREMENT ERROR MEASUREMENT ERRORS MEAT MICRONUTRIENTS NEGATIVE SIGN NOMINAL INCOME 0 HYPOTHESIS NUTRIENT NUTRIENT CONTENT NUTRITION POLICY NUTRITIONAL OUTCOMES NUTRITIONAL STATUS NUTRITIONAL SUPPLEMENTATION PER CAPITA CONSUMPTION POLICY ANALYSIS POLICY DISCUSSIONS POLICY PERSPECTIVE POLITICAL ECONOMY POOR POOR HOUSEHOLDS POOR PEOPLE POOR RURAL HOUSEHOLDS POVERTY IMPACT POVERTY LINE POVERTY REDUCTION PREPARED FOODS PRICE CHANGES PRICE INCREASES PRICE SUBSIDIES PROTEIN PULSES PURCHASING POWER REAL INCOME REGIONAL INEQUALITY REGRESSION ANALYSIS RELATIVE PRICES RICE RURAL RURAL AREAS RURAL CONSUMERS SAFETY NET PROGRAMS SEASONINGS SIGNIFICANT DIFFERENCES SIGNIFICANT IMPACT SMOOTHING CONSUMPTION SOCIAL SAFETY SOFT DRINKS STAPLE FOODS STARCHES SUPPLEMENTARY FEEDING TRANSACTION COSTS TUBERS UNDERNUTRITION VEGETABLES VITAMIN VITAMIN A VITAMIN B VITAMIN C VITAMINS The 2008 "food price crisis" and more recent spikes in food prices have led to a greater focus on policies and programs to cushion their impact on poverty and malnutrition. Estimating the income elasticity of micro-nutrients and assessing how they change during such crises is an important part of the policy debate as it affects the effectiveness of cash transfer and nutritional supplementation programs. This paper assesses these issues using data from two cross-sectional household surveys in Indonesia carried out before and soon after the 1997/98 economic crisis, which led to a sharp increase in food prices. First, the authors examine how the income elasticity of the starchy staple ratio differs between the two survey rounds using non-parametric as well as regression methods. Second, they provide updated estimates of the income elasticity for important nutrients in Indonesia. The analysis finds that (i) summary measures such as the income elasticity of the starchy staple ratio may not change during crises but this masks important differences across specific nutrients; (ii) methods matter -- the ordinary least squares estimates for the income elasticity of micro-nutrients are likely to be misleading due to measurement error bias; (iii) controlling for measurement error, the income elasticity of some key micro-nutrients, such as iron, calcium, and vitamin B1, is significantly higher in the crisis year compared with a normal year; and (iv) the income elasticity for certain micro-nutrients -- vitamin C in this case -- remains close to zero. These results suggest that cash transfer programs may be even more effective during crises to protect the consumption of many essential micro-nutrients compared with non-crisis periods but in order to ensure that all micro-nutrients are consumed, specific nutritional supplementation programs are also likely to be required. 2012-03-19T18:00:14Z 2012-03-19T18:00:14Z 2011-01-01 http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20110124140944 http://hdl.handle.net/10986/3319 English Policy Research working paper ; no. WPS 5548 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank Publications & Research :: Policy Research Working Paper East Asia and Pacific East Asia and Pacific Southeast Asia Asia Indonesia