This document covers ten common questions regarding the FAO itself and CGD's new report.
At the beginning of the new millennium, a key development concern was the impact of agricultural policies in high-income countries on poor farmers in the rest of the world. Over the ensuing decade, the focus swung from the role of price-suppressing farm subsidies to the role biofuel policies play in driving food prices up. While development advocates are right to criticize the trade-distorting costs and environmental risks of current biofuel policies, agricultural subsidies and trade barriers in rich countries remain in place and the distorting impact of those policies will rise again when prices decline.
Estimating Income / Expenditure Differences across Populations: New Fun with Old Engel’s Law - Working Paper 339
How much larger are the consumption possibilities of an urban US household with per capita expenditures of 1,000 US dollars per month than a rural Indonesian household with per capita expenditures of 1,000,000 Indonesian Rupiah per month? Consumers in different markets face widely different consumption possibilities and prices and hence the conversion of incomes or expenditures to truly comparable units of purchasing power is extremely difficult. We propose a simple supplement to existing purchasing power adjusted currency conversions.
The Quality of Agricultural Official Development Assistance (Ag QuODA) measures how well donors giving agricultural aid score on the dimensions of aid quality that evidence and experience suggest lead to effective aid. Improvements in the data quality and availability are making sector-specific assessments like Ag QuODA more feasible, but further improvements are needed to allow a deeper understanding of aid effectiveness.
In the face of climate change, land and water scarcity, declining growth in crop yields, and dwindling public budgets, donors will need to be more innovative in how they deliver aid for agriculture.