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    Analyzing drivers of world food prices: weather, growth, and biofuels

    Saunders, Caroline M.; Kaye Blake, W.; Cagatay, S.
    Abstract
    The recent rise of food cost in world markets has accelerated the research examining the underlying factors for this rise. The present research investigated the separate and combined impacts of three factors thought to contribute to the price rise: adverse weather events, strong and sustained growth in high populated countries, and increased biofuels production. The research further analysed the effects of these price rises on consumption expenditures in Brazil, China and India. Analyses were carried out using a partial equilibrium trade model with a focus on the 2004 to 2007 period. The modelling suggests that the most important factor behind the price rise depends on the commodity, with maize/corn, oilseeds, and sugar most affected by biofuels, while some meats and dairy products are more affected by income growth.... [Show full abstract]
    Keywords
    food price; biofuel; weather; partial equilibrium model
    Date
    2009
    Type
    Conference Contribution - Published (Conference Paper)
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    • AERU miscellaneous publications [140]
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    IAAE_Analyzing_the_ Drivers_of_World_Food Prices.pdf
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    Copyright 2009 by the authors. All rights reserved. Readers may make verbatim copies of this document for non-commercial purposes by any means, provided that this copyright notice appears on all such copies
    Citation
    Saunders, C., Kaye-Blake, W., & Cagatay, S. (2009). Analyzing drivers of world food prices: weather, growth, and biofuels. 27th Conference of the International Association of Agricultural Economists, 16-22 August 2009. Beijing, China: Lincoln University. Agribusiness and Economics Research Unit.
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