ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

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Cereal Consumption as a Proxy for Real Income

This paper empirically investigates the relationship between cereal consumption and real income using pooled cross-section and time series data for a number of countries. It finds that the per capita total cereal consumption (i e, direct plus indirect) has a very strong association with per capita real income, though of course there are other factors which influence it too. The association is so strong that one would not be wrong in taking cereal consumption as a proxy for real income as has been suggested in the ongoing poverty debate in India.

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