Malawi: Systematic analysis of domestic production and world market shocks

This study explores Malawi’s vulnerability to economic shocks and identifies those contributing most to economic uncertainty. The Malawian Computable General Equilibrium (CGE) model was employed to simulate a range of potential economic outcomes under various sampled shock scenarios developed using...

Full description

Bibliographic Details
Main Authors: Mukashov, Askar, Duchoslav, Jan, Kankwamba, Henry, Jones, Eleanor, Thurlow, James
Format: Brief
Language:Inglés
Published: International Food Policy Research Institute 2024
Subjects:
Online Access:https://hdl.handle.net/10568/168174
_version_ 1855531866921107456
author Mukashov, Askar
Duchoslav, Jan
Kankwamba, Henry
Jones, Eleanor
Thurlow, James
author_browse Duchoslav, Jan
Jones, Eleanor
Kankwamba, Henry
Mukashov, Askar
Thurlow, James
author_facet Mukashov, Askar
Duchoslav, Jan
Kankwamba, Henry
Jones, Eleanor
Thurlow, James
author_sort Mukashov, Askar
collection Repository of Agricultural Research Outputs (CGSpace)
description This study explores Malawi’s vulnerability to economic shocks and identifies those contributing most to economic uncertainty. The Malawian Computable General Equilibrium (CGE) model was employed to simulate a range of potential economic outcomes under various sampled shock scenarios developed using historical data to capture domestic agricultural yield volatilities and world market prices uncertainty for traded goods. Data mining and ma-chine learning methods were applied to quantify the contribution of each shock to the uncertainty of economic outcomes (gross domestic product [GDP], private consumption, poverty, and undernourishment). Key findings sug-gest that domestic cereals and oilseeds yield volatility risks are the most important for the uncertainty of total GDP and consumption across all household types except rural low-income households. Rural low-income households’ consumption and poverty are exposed to a wide range of risks, including production volatility of livestock, yield volatility of oilseeds, cereals, vegetables and world market price of beverage crops. Finally, for undernourishment outcomes, volatility in the yields of staple cereals is the dominant risk factor for all household types. Understanding how possible shocks would impact various segments of the Malawian economy and population is a critical first step in facilitating discussions on relevant risk mitigation strategies, such as increasing average crop yields, adopting technologies and practices that narrow yield uncertainties, or diversifying production away from risky crops and sectors.
format Brief
id CGSpace168174
institution CGIAR Consortium
language Inglés
publishDate 2024
publishDateRange 2024
publishDateSort 2024
publisher International Food Policy Research Institute
publisherStr International Food Policy Research Institute
record_format dspace
spelling CGSpace1681742025-11-06T04:38:18Z Malawi: Systematic analysis of domestic production and world market shocks Mukashov, Askar Duchoslav, Jan Kankwamba, Henry Jones, Eleanor Thurlow, James shock economic shock computable general equilibrium models agriculture market prices poverty nutrition crop yield machine learning climate This study explores Malawi’s vulnerability to economic shocks and identifies those contributing most to economic uncertainty. The Malawian Computable General Equilibrium (CGE) model was employed to simulate a range of potential economic outcomes under various sampled shock scenarios developed using historical data to capture domestic agricultural yield volatilities and world market prices uncertainty for traded goods. Data mining and ma-chine learning methods were applied to quantify the contribution of each shock to the uncertainty of economic outcomes (gross domestic product [GDP], private consumption, poverty, and undernourishment). Key findings sug-gest that domestic cereals and oilseeds yield volatility risks are the most important for the uncertainty of total GDP and consumption across all household types except rural low-income households. Rural low-income households’ consumption and poverty are exposed to a wide range of risks, including production volatility of livestock, yield volatility of oilseeds, cereals, vegetables and world market price of beverage crops. Finally, for undernourishment outcomes, volatility in the yields of staple cereals is the dominant risk factor for all household types. Understanding how possible shocks would impact various segments of the Malawian economy and population is a critical first step in facilitating discussions on relevant risk mitigation strategies, such as increasing average crop yields, adopting technologies and practices that narrow yield uncertainties, or diversifying production away from risky crops and sectors. 2024-12-20 2024-12-20T18:22:55Z 2024-12-20T18:22:55Z Brief https://hdl.handle.net/10568/168174 en https://hdl.handle.net/10568/158180 Open Access application/pdf International Food Policy Research Institute Mukashov, Askar; Duchoslav, Jan; Kankwamba, Henry; Jones, Eleanor; and Thurlow, James. 2024. Malawi: Systematic analysis of domestic production and world market shocks. Economywide Risk Assessment Brief 3. Washington, DC: International Food Policy Research Institute. https://hdl.handle.net/10568/168174
spellingShingle shock
economic shock
computable general equilibrium models
agriculture
market prices
poverty
nutrition
crop yield
machine learning
climate
Mukashov, Askar
Duchoslav, Jan
Kankwamba, Henry
Jones, Eleanor
Thurlow, James
Malawi: Systematic analysis of domestic production and world market shocks
title Malawi: Systematic analysis of domestic production and world market shocks
title_full Malawi: Systematic analysis of domestic production and world market shocks
title_fullStr Malawi: Systematic analysis of domestic production and world market shocks
title_full_unstemmed Malawi: Systematic analysis of domestic production and world market shocks
title_short Malawi: Systematic analysis of domestic production and world market shocks
title_sort malawi systematic analysis of domestic production and world market shocks
topic shock
economic shock
computable general equilibrium models
agriculture
market prices
poverty
nutrition
crop yield
machine learning
climate
url https://hdl.handle.net/10568/168174
work_keys_str_mv AT mukashovaskar malawisystematicanalysisofdomesticproductionandworldmarketshocks
AT duchoslavjan malawisystematicanalysisofdomesticproductionandworldmarketshocks
AT kankwambahenry malawisystematicanalysisofdomesticproductionandworldmarketshocks
AT joneseleanor malawisystematicanalysisofdomesticproductionandworldmarketshocks
AT thurlowjames malawisystematicanalysisofdomesticproductionandworldmarketshocks