Differing Perspectives on the World Food Problem: Discussion

Abstract

For most people in the developed countries, the major World Food Problem is the continuing large number of undernourished people in the less developed countries. Why does this problem persist? International comparisons show a close correlation between food adequacy and average per capita income; household consumption studies show a similar close correlation within countries (Reutlinger and Selowsky). This evidence suggests that most hungry people are poor people in poor countries. That is, the world food problem is caused by poverty that results in inadequate demand. But international data also can be looked at from another perspective. In some poor countries there is inadequate food to meet the average needs of the population. For many countries aggregate food demand has grown faster than aggregate food supply, and for most countries of Africa population has grown more rapidly than food production over the past decade (Mellor). This evidence suggests that the world food problem is caused by inadequate supply. These rather simplified observations indicate that increases in both food supply and food demand are needed if the world is to solve the problem of hungry people. This conclusion is not inconsistent with Falcon's analysis, an analysis which gives many insights into changing perceptions of the world food problem. However, one must recognize that just as there is no worldwide food strategy, there is no worldwide operational definition of the food problem, only operational definitions of national food problems. Political realities and the economic nature of the demand for, and supply of, food affect policy makers' understandings of national food problems. Because short-run supply and demand for basic food commodities are price inelastic, slight shortfalls in supply lead to sharp price increases. And, as pointed out by Falcon, the demand for food in the aggregate is quite responsive to income, especially when consumption patterns begin to include livestock products. The national food problem that is clearest to leaders in developing countries arises from shortfalls in supply--the problem that results in domestic tensions, riots, or revolutions. When supply increases more rapidly han demand, prices move sharply downward, but this is not viewed as a crisis except by farmers, who have little political power in developing countries. Domestic political incentives are on the side of preventing price rises, and price stabilization policies tend to push prices down over time. Where such policies are not offset by investments that increase agricultural productivity, their long-run impact is to reduce food production, making the problems more difficult.