  Using an unbalanced panel data covering 75 countries from 1991 to 2019, we
explore how the political risk impacts on food reserve ratio. The empirical
findings show that an increasing political risk negatively affect food reserve
ratio, and same effects hold for both internal risk and external risk.
Moreover, we find that the increasing external or internal risks both
negatively affect production and exports, but external risk does not
significantly impact on imports and it positively impacts on consumption, while
internal risk negatively impacts on imports and consumption. The results
suggest that most of governments have difficulty to raise subsequent food
reserve ratio in face of an increasing political risk, no matter it is an
internal risk or an external risk although the mechanisms behind the impacts
are different.
