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The major determinants of cereal import demand in 7 4 less-developed countries (LDCs)were analysed using an econometric cross-sectional model. Key explanatory factors included the level ofincome and degree of urbanization, financial capacity proxies, and domestic grain supply variables. Amajor innovation involved the analysis of the impact of income distribution on LDC cereal import demandin 1986 and 1987 for a more restricted sample of 23 nations. These~ developing countries exhibit a greaterthan proportional increase in cereal imports due to an increase in the income share of the poorest 40percent of their populations. The inclusion of regional slope and intercept dummies in the cereal importdemand model also provides improved results. High levels of government debt appear to have inhibitedcereal imports in nations in South America but not in Asia and Africa. In all three continental regions,particularly Africa, there is a positive relationship between food aid and cereal imports. The modelpredicts cereal imports more satisfactorily for nations in Asia and South America than for those in Africa.Finally, the results support the view that improvements in income distribution in developing nations wouldconsiderably stimulate cereal imports.

Subject(s): Crop Production/Industries

Demand and Price Analysis

International Development

Issue Date: 1992

Publication Type: Conference Paper/ Presentation

PURL Identifier: http://purl.umn.edu/197886 Page range: 267-274

Total Pages: 8

Record appears in: International Association of Agricultural Economists (IAAE) > 1992 Occasional Paper Series No. 6

Autor: Veeman, Terrence S. ; Sudol, Maxine ; Veeman, Michele M. ; Dong, Xiao-Yuan

Fuente: http://ageconsearch.umn.edu/record/197886?ln=en

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