Essays on Indonesian Undernutrition Vulnerability and Domestic Asymmetric Rice Price Transmission with the World

by Farah Wulandari Pangestuty
Doctoral thesis
Date of Examination:2018-11-15
Date of issue:2019-11-05
Advisor:Prof. Dr. Xiaohua Yu
Referee:Prof. Dr. Stephan Klasen
Referee:Prof. Dr. Bernhard Brümmer
Persistent Address: http://dx.doi.org/10.53846/goediss-7707

 

 

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Abstract

English

This dissertation addresses two different aspects related to food security problems in Indonesia, particularly from the aspect of food accessibility and availability. The first essay deals with the assessment of undernutrition vulnerability, in which we highlight the importance of assessing the probability of being nutrient deficient in the near future as a complement to the current nutritional status. The empirical investigation is conducted by employing the Just and Pope (1979) method to estimate the vulnerability rate across households. By exploiting the households’ socioeconomic characteristics and district specific information, the study finds that income is the most prominent indicator in determining the sufficiency of nutrient intake. Moreover, two micronutrient-related variables are educational background and the health facilities provided in the region. Higher educational background and a greater number of health facilities are correlated with higher micronutrient consumption and lower macronutrient intake. In terms of district-specific variables, the number of clinics and markets play a positive role in decreasing the vulnerability rate to undernutrition. In addition, the probability of being vulnerable to undernutrition is considered as high in the sample with current status of fully nourished. One third from around 46% food secured sample households are found to be vulnerable to under consumption of calorie. While approximately 14% out of 41%. 13% out of 50%, 6% out of 60% households with nourished nutritional status are found to be vulnerable in terms of inadequate intake of protein, calcium, and iron respectively. The subsequent essay aims at examining the transmission of the international rice price (Thailand and Vietnam price as the reference price) movements to the domestic price. As a big rice imported country, Indonesia is prone to the shock from the international market, given the thin feature of the world rice market. We test whether the error adjust asymmetrically by applying Vector Error Correction Model with ECM being split as well as the threshold effect (Threshold Vector Error Correction Model). The findings reveal that there is low price transmission from international to domestic rice market, with asymmetric adjustment of error. We find the threshold effect only for Indonesia-Thailand price pair.
Keywords: undernutrition vulnerability; rice price transmission indonesia
Schlagwörter: undernutrition vulnerability; rice price transmission indonesia
 
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