How Math Predicts Revolutions Based on Food Prices


The point about rising food prices being a factor in social unrest has been explored before but now there is a model that can predict when and where revolutions will occur based on food prices. According to this, when the FAO food price index reaches 210, social unrest is triggered. Among the list of countries are some where this has happened on a large scale(Venezuela is a current example), some where it is still contained (India) and also some surprises (Sweden?!). The author of the study, Prof. Yaneer Bar-Yam of the New England Complex Systems Institute , points to two major causes for rising food prices: the rise of biofuels and speculation in commodities. And what happens to these two variables will determine if prices will be lower this year. Ethanol mandates are being debated in the US and EU, but speculation is another matter. It is spoken of much less than labeling, or any other food issue of the day.

Consider, also, the impact of climate change. (This was an important factor in the case of Syria, for instance.) Unpredictable weather events, a sudden drought or flood may result in a below average harvest; but higher prices in the global market (fueled by speculation) provide an incentive for exporting most of the crop. This would mean less is available for domestic consumption and  prices would rise for whatever is on the market. If prices were to rise to critical levels, as predicted by this model, social unrest would follow. 

What are the chances of regulating commodity speculation, proposing , for example, some limits for trading? It is difficult, perhaps, to be optimistic on this issue but it has to be highlighted in any conversation on the food system.  Food is a commodity, yes, but it is not like any other commodity. If trading in future, hypothetical, stocks of grain  means people are starving in the present then that is not an acceptable situation and efforts to correct it should not be blocked by purely financial interests.

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