Food Security : a Means to Sustainable Economic Growth
CHAPTER ONE
Objective of the Study
The broad objective of the study is to evaluate the effect of Food security on economic growth.
Specific objectives of this study are:
- to examine the short run relationship between economic growth and food security
- to investigate the long run relationship between economic growth and food security
- to examine the causal relationship between economic growth and food security
CHAPTER TWO
LITERATURE REVIEW
Introduction
The main purpose of this chapter is to review virtually all existing literature relevant to the effect of food security on economic development. Food insecurity is a major sign of underdevelopment in a country. It is necessary to evaluate the role or contribution of food security in ensuring economic development. This literature review will help shed more light on food security in relation to economic development.
This chapter would mainly focus on the following;
- The conceptual review
- Review of theoretical literature
- Review of empirical studies
- Knowledge gap in the literature
Conceptual Review
Here, the concept of food security and economic development will be elaborated further so as to have abundant knowledge on the subject matter.
Concept of Food Security
Through the spiraling of literature, many definitions and conceptions concerning food security has been introduced. Food security exists when all people at all times have physical or economic access to sufficient safe and nutritious food to meet their dietary needs and food preferences for an active and healthy life” (FAO, 1996 cited in Bazga, 2012). This definition was adopted by the world food summit (WFS) in November 1996. This definition postulates food security as availability and accessibility of healthy food fit for consumption. According to Bazga, (2012) the difficulties encountered by food security is classified into two areas: quality and quantity and this has a serious effect on the five dimensions of food security which are;
Bazga (2015) also identified five dimensions of food security which are; food availability, price volatility, population access to food availability, food utilization, and stability of food.
In alignment with the above definition, Nwaniki, (2007) identified three aspects of food security, namely: food availability, food access, and food adequacy. Availability of food also means adequate supply of food and food must be supplied in sufficient quantity and quality. The world bank (2007) adds that food security can be seen as access by all people at all times to enough food for an active, healthy life. Hence, by implication, households are meant to have both physical and economic access to food. In addition, Siamwalla and Valdes 2004 cited in Bazga 2015) sees food security as the ability of the countries, regions or households to meet target levels of food consumption on a yearly basis. Kracht (1981) viewed food security as everyone having enough to eat at any time – enough for life, health and growth of the young, and for productive effort. Reutlinger (1982) saw it as freedom from food deprivation for all the world’s people all the time. In 1985, Reutlinger orchestrated another definition of food security as the access by all people at all times to enough food for an active and healthy life. Carter (1989) also clearly stated that food security is the ability of food-deficit regions or countries, or households within these countries, to meet target levels of consumption on a yearly basis.
Given the above compilation of definitions by various authors, the following core concepts of food security are dominant;
Sufficiency
This deals with the concept of enough food, it has been described in various ways in trending literature. It was described by (Reutlinger and Knapp 1980) as “minimal level of food consumption”; as “the basic food needed” by (FAO 1983). Also, (Barraclough and Utting 1987) refers to the concept as “adequate to meet nutritional needs”. Hence, for a country to attain food security, food supply must be sufficiently enough for consumption and must also contain basic nutrients to facilitate healthy living.
CHAPTER THREE
RESEARCH METHODOLOGY
Introduction
This chapter explains the model adapted for the study, technique of estimation, data sources and measurement with the aid of method use for the research analysis. The chapter is therefore divided into two sectors; this includes model specification and techniques of estimation (method of research) and the data sources and measurement.
CHAPTER FOUR
PRESENTATION AND ANALYSIS OF DATA
Introduction
This chapter deals with the analysis of data and interpretation. This chapter contains the empirical analysis of this study which examines the effect of food security on economic growth of Nigeria from 1970-2013.
Firstly, the study makes use of the unit root test to test the data series for stationarity. The data also employs the use of the Autoregressive distributed lag (ARDL) and granger causality test to justify the objectives of the research.
The variables examined during this analysis are: GDP % change (as measurement for economic growth), Food Security (FOS, using calorie supply per capital as proxy), per capita income (PCI), Food production index (PFI), Foreign direct investment (FDI), Consumer price index (CPI), Import (IMP) and Government expenditure (EXPE) The variables were estimated using E-views 9.5 software.
CHAPTER FIVE
CONCLUSION AND POLICY RECOMMENDATION
This work examined the effect of food security on economic growth using the auto-regressive lag (ARDL) model. The objective of this work is to analyze the causal relationship between economic growth and food security and also to analyze the long and short run effect between them. In order to achieve the stated objectives, the unit root test was used to check for stationarity, granger causality test was used to analyze the causal relationship. The auto- regressive distributed lag (ARDL) was used to test the short run effect and the long run effect was examined through the ARDL bound test.
The granger causality test shows that there is a causal relationship between food production index (FPI) and per capital income (PCI). This shows a unidirectional relationship, that is, FPI granger causes PCI.
The results from auto-regressive distributed lag (ARDL) shows that there is no short run relationship between the variables but a long run relationship exist between the variables using GDP as dependent variable.
Based on discoveries made, it can be noted that food production which is a major determinant of food security affects per capita income in the country, also food security has a significant impact on economic growth in the long run. Hence, it can be concluded that there is need for government intervention in the pursuit of food security, to increase food productivity in the agricultural sector to stimulate sustainable economic growth.
RECOMMENDATION
Based on the findings the following recommendations are suggested
The government should focus on formulating long run policies to enhance food productivity. Pro poor policies should be designed to terminate poverty and this should focus on diversifying the Nigerian economy with agriculture as the driver of the economy.
The government should make provision for adequate supply of technology to enhance food productivity. Government should subsidize machineries and other important technologies for agricultural productivity thereby encouraging the private sector to go into mechanized farming.
The government should strengthen agricultural research institutes with sufficient funds. This will improve domestic techniques in agricultural productivity.
The government should also enforce import substitution on food production. Food importation should be restricted and the central bank should create policies that would favour the supply of money towards food production.
There is need for sincerity of purpose and consistency with programmes and policies. It is adviced that all leaders stick to the same programmes and policies, this would go a long way to avoid wastage of resources, enhance food security as well as economic growth.
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