Food security and wealth vs. environmental impact of agriculture as seen from a perspective of poor countries

Aim: The purpose of this article was to identify the determinants of low GDP per capita levels accompanied, and driven by, extreme food insecurity in the 25 countries with the lowest GFSI (Global Food Security Index). Methodology: The countries were divided into five groups for descriptive purposes, while the determinants of GDP per capita were examined using a fixed effects panel regression model. Results: The descriptive analysis showed a declining trend in agricultural land per capita and increasing methane emissions per hectare. The panel regression results indicated that electricity availability, energy use per capita, and capital in agriculture were positive and statistically significant determinants of GDP per capita. Agricultural land per capita showed only weak significance at the 10% level, whereas CO₂ and CH₄ emissions were not statistically significant after controlling for country-specific effects. Implications and recommendations: The conclusions drawn from the study provide grounds for seeking recommendations on how to make people less exposed to the risk of food insecurity, especially in Cluster 1 countries. Those five countries, also among the least developed ones, were not in a position to change the course of climate change. Therefore, in order to solve this problem, it is necessary to focus on their economic development. First, greater emphasis must be put on agricultural subsidies in the least developed countries. Second, their governments should focus on how to efficiently absorb technological progress in agriculture. Based on these efforts it would be possible to develop solutions which ensure food security, whilst enabling a reduction in negative environmental impacts. Originality/value: Seeking the determinants of GDP per capita in the context of ensuring food security is an important aspect in view of the forecasted population growth, which in turn implies growing demand for food. The need to ensure food security is a global commitment with both an economic and an ethical dimension. It is therefore reasonable to address that issue, having in mind the progressing globalization and the persisting famine and poverty.