We examine how energy use at the household level moves with income growth in Bangladesh. Using the 2010 wave of Bangladesh Household Income and Expenditure Survey data, our analyses indicate a U-shaped relationship of both electricity use and other types of energy use (combined) with household consumption. The findings imply that as income grows, households increase their energy use less than proportionally up to a threshold. Energy use beyond the threshold increases at a higher rate than total consumption, particularly for electricity use. We identify the threshold (turning point) for both electricity and other types of energy use. Based on the current level of consumption and its growth, reaching at the turning point would require 17 years for the former category but only 7 years for the latter group.
Immigrants to Australia are selected on observable characteristics. They may also differ from natives on unobservable characteristics such as ambition or motivation. If we account for unobservable differences, we find a wage gap for immigrant men from English‐speaking backgrounds, in contrast with previous research which has found no wage gap. Controlling for unobserved heterogeneity also seems important for finding cohort effects. Immigrants that arrived before 1985 faced a larger wage gap compared to native‐born Australians than subsequent cohorts. Confirming other research, we find wage gaps for immigrant men and women from non‐English‐speaking backgrounds (NESBs). Wage assimilation occurs slowly for all groups, but is slowest for those from NESBs.
This paper studies the nutritional impact and the adjustment in consumption as a result of the 2005-2010 rice price increase in rural Bangladesh. We compare the net rice buyers, who suffer from a negative income effect, with the self sufficient households. Our findings indicate that rural households in Bangladesh cope well with the surge in the domestic rice price as indicated by the absence of any effect on their calorie intake and food diversity. Income plays a crucial role in dietary diversity indicating the importance of effective income support programmes at the time of food price shocks.
AbstractThis paper studies the nutritional impact and the adjustment in consumption as a result of the 2005-2010 rice price increase in rural Bangladesh. We employ a difference-in-differences framework and compare the net rice buyers, who suffer from a negative income effect, with the self sufficient households who are not affected by the change in rice price. We also compare net rice sellers, who are expected to enjoy a positive income effect, to the self sufficient households. Our findings indicate that rural households in Bangladesh cope well with the surge in the domestic rice price as indicated by no effect on their calorie intake and food diversity. We also find that all types of households similarly adjust their consumption of rice, non rice food items and non food items. Income plays a crucial role in households' dietary diversity indicating that effective income support programs at the time of large increases in the prices of staple food items are instrumental to maintain nutritional stability.JEL Classification: D12, I32, O13, O53, Q12.
This article studies the impact of the rice price increase between 2005 and 2010 on consumption in rural Bangladesh. Using the Household Income and Expenditure Survey (HIES) data, we compare net rice buyers and sellers to self-sufficient households. To identify the effect of rice price changes on household consumption of rice, nonrice food and nonfood items, we employ a difference-in-differences (DiD) technique. Our findings indicate that the surge in domestic rice prices between 2005 and 2010 reduced the nonrice food consumption of net rice buyer households by 7%, compared to the households who are self-sufficient in rice production. However, it did neither affect their rice nor their nonfood consumption. In contrast, while we find no significant effect of rice price increases on the rice consumption of net rice sellers, we observe a 9% increase in their nonrice food consumption. In such situation, a subsidy on low-quality rice may be effective in fulfilling the nutritional requirement of low-income households.JEL classifications: D12, I32, O13, O53, Q12
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