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Income Effects of Donated Commodities in Rural Panama
Author(s) -
Franklin David L.,
Harrell Marielouise W.,
Leonard Jerry B.
Publication year - 1987
Publication title -
american journal of agricultural economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.949
H-Index - 111
eISSN - 1467-8276
pISSN - 0002-9092
DOI - 10.2307/1241312
Subject(s) - marginal propensity to consume , panama , economics , marginal value , agricultural economics , household income , food away from home , value (mathematics) , food prices , food security , agriculture , food consumption , geography , monetary economics , microeconomics , biology , ecology , archaeology , machine learning , market liquidity , computer science
Analyses of food expenditure data from rural households in Panama showed that the marginal propensity to consume food out of additional income in the form of donated food is not different than the marginal propensity to consume food out of money income for households participating in the Veraguas supplemental feeding program. These results suggest that take‐home food programs can have significant income‐mediated impacts on the acquisition of food, and, accordingly, food supplementation programs should be designed to maximize the income value of the donated commodities in terms of prices prevailing in the local markets.