Agriculture Reference
In-Depth Information
All India
55
1993-1994
2004-2005
50
45
40
35
30
25
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Quantiles of MPCE
11
12
13
14
15
16
17
18
19
20
Figure  13.1 Food Diversity Index at Various Levels of MPCE
food expenditure. A Food Diversity Index (FDI) is computed.14 In percentages, this lies
between 0 and 100. The higher the ratio, the lower is the food diversity. 15 We use five food
groups to construct the FDI: (1) cereals and pulses; (2) milk, milk products, eggs, and
meats; (3) oil; (4) sugar; and (5) fruits and vegetables. We consider a less disaggregated
classification of food commodities than used before, but there is no more than a slight
loss of information.
A graphical representation of variation in FDI by per capita expenditure quantiles is
given in figure 13.1. Diets are more diversified at higher expenditure levels; moreover,
diet diversification was greater in 2004 than in 1993.
The FDI and its effect on calorie intake are analyzed in two-stages:  The first stage
focuses on the determinants of FDI and the second on the effects of FDI on calorie
intake.16 Cereal and relative food prices (ratio of cereal price to that of animal products
including milk, poultry, and meat price, cereal price to that of Vanaspati oil) influence
FDI. Specifically, for example, the higher the cereal price, the lower is FDI, and the greater
is food diversification. On the other hand, given the cereal price, the lower is the price
of animal products, the greater is the demand for these products and consequently the
greater is food diversification. Higher expenditure lowers FDI and enhances food diver-
sification. Those belonging to the middle class (identified on the basis of consumer dura-
bles such as TVs) also have more diversified diets, as do those located in urban areas.
In the second stage, controlling for the effects of all these variables (except for that
of the middle class), dietary diversification reduces calorie intake.17 Although this
link has been hinted at or simply glossed over in recent studies, this is the first robust
confirmation.18
How Pervasive is Eating Out in a
Transitional Economy?
How extensive is the dietary transition in terms of eating outside the household?
The nationwide household survey, India Human Development Survey 2005 (IHDS),
 
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