The escalation in world food prices and its implications for the Caribbean

During the last years, the steep increase in food prices has been one of the most distinctive characteristics of the world economy. Many factors have been hypothesized as the main drivers of this phenomenon, both structural and temporary. International food inflation has had perceptible effects on food importing countries and regions. As such, the Caribbean has suffered the impact mainly through four channels, namely, domestic inflation, imports bill and trade balance, poverty and indigence rates, and equity. This study addresses empirically these issues from a regional perspective.