Market Proximity, Household Resilience, and Food Security: A Data-Driven Vulnerability Framework

This study examines the impact of market proximity on household food security and resilience using data from the International Fund for Agricultural Development (2017- 2018). We first amend the Vulnerability as Expected Poverty (VEP) methodology by proposing the Least Absolute Shrinkage and Selection Operator (LASSO) for variable selection and more accurately identify at-risk households. We then employ our vulnerability measure within an instrumental variable framework to explore the relationship between market access, resilience, and food security outcomes. The results indicate that closer market proximity significantly strengthens household resilience and, ultimately, reduces welfare fluctuations. These findings highlight the significance of policy interventions aimed at improving market infrastructure, enhancing resilience, and mitigating food security vulnerabilities.