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The Impact of Food Aid on Food Subsidies in Recipient Countries
Author(s) -
Hoffman Wendy L.,
Gardner Bruce L.,
Just Richard E.,
Hueth Brent M.
Publication year - 1994
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 - 10.2307/1243735
Subject(s) - subsidy , food aid , taxpayer , welfare , economics , business , developing country , agricultural economics , public economics , food security , agriculture , economic growth , ecology , market economy , biology , macroeconomics
A model in which policy makers maximize a weighted welfare function of producer, consumer, and taxpayer groups is applied to explain the effects of food aid receipts on food policies in the countries receiving food aid. Consumer subsidies for wheat in nine countries receiving food aid are examined during the 1955–83 period. Econometric results indicate food aid increases domestic food subsidies in the recipient countries, but that other factors (development, country‐specific factors) are more important in determining subsidy level.