Publication: The Pass-Through of International Commodity Price Shocks to Producers’ Welfare: Evidence from Ethiopian Coffee Farmers
Date
2021-11
ISSN
Published
2021-11
Author(s)
Kebede, Hundanol A.
Abstract
International commodity price shocks
may have large impacts on producers in developing countries.
In this paper, a unique household panel data from Ethiopia
is utilize to show that a decrease in international coffee
price has strong pass-through to the consumption of
households that rely on coffee production as a main source
of livelihood. It also results in decreases in on-farm labor
supply (particularly male labor supply) and induces
reallocation of labor towards non-coffee fields, but has
negligible effect on off-farm labor supply. The decline in
consumption has significant consequences on child
malnutrition: children born in coffee-producing households
during low coffee price periods have lower weight-to-age and
weight-to-height z-scores than their peers born in
non-coffee households.
Citation
“Kebede, Hundanol A.. 2021. The Pass-Through of International Commodity Price Shocks to Producers’ Welfare : Evidence from Ethiopian Coffee Farmers. Policy Research Working Paper;No. 9839. © World Bank, Washington, DC. http://openknowledge.worldbank.org/entities/publication/7a38dbf8-cba1-5fb7-93fe-e4199d82287c License: CC BY 3.0 IGO.”
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