Food security and food storage
Document Type
Article
Publication Date
1-1-2018
Abstract
The impact of food storage on food security is examined within the context of welfare economics. It is assumed that governments store commodities with the objective of creating stability. We show a much different result if the stockholder’s objective is to maximize profit from storage activities. In this case, storage does not eliminate price instability. Producers are unaffected by instability if they use an optimal storage strategy. Further, storage on the part of producers offsets what would otherwise be the negative effect from price uncertainty. It is empirically shown that storage results in decreased variability of per capita food availability.
Publication Source (Journal or Book title)
Encyclopedia of Food Security and Sustainability
First Page
433
Last Page
443
Recommended Citation
Lynn Kennedy, P., Schmitz, A., & van Kooten, G. (2018). Food security and food storage. Encyclopedia of Food Security and Sustainability, 433-443. https://doi.org/10.1016/B978-0-08-100596-5.22251-8