The Gerald R. Ford School of Public Policy at the University of MichiganThe Gerald R. Ford School of Public Policy at the University of Michigan

Dean Yang interviewed by American Public Media's Marketplace, "In Mozambique, subsidy curbs spark worries"

Thursday, June 16, 2011

Dean Yang was interviewed about food subsidies in Mozambique on American Public Media's Marketplace, which is carried on hundreds of NPR stations nationwide.

For years, in an attempt to stabilize the country after years of civil war, Mozambique has helped its citizens with the cost of food and gas. With global food prices on the rise, the government can't afford to continue support despite fears of civil unrest after the subsidies are discontinued.

"Really, the food subsidies are targeted towards urban consumers -- a minority of the population, but a more politically influential subset of the population," Yang told Marketplace. The poorest of residents live outside the city, in an essentially cash-free economy, and aren't able to take advantage of these programs. "So these food subsidy programs really arise from political motivations rather than economic motivations, rather than motivations to help the poorest of the poor in the country," Yang explained.

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