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Bread Subsidies in Egypt: Choosing Social Stability or Fiscal Responsibility

The American University in Cairo, 113 Kasr el Aini Street, Cairo, 11511, Egypt, jsalevurakis{at}aucegypt.edu

Sahar Mohamed Abdel-Haleim

The American University in Cairo, 113 Kasr el Aini Street, Cairo, 11511, Egypt, saharmoh{at}aucegypt.edu

Bread subsidies contribute greatly to social stability in Egypt, yet there exist academic and political tendencies to abandon the system in the interest of market-based efficiency. This represents a shift in contemporary economic ideology historically focused upon maintaining calm after Cairo's 1977 bread riots. Further, international pressure to `liberalize` the Egyptian economy paradoxically conflicts with Western desires to suppress religious fundamentalism in the region. These incongruities are largely ignored by Egyptian and Western research.

Key Words: subsidies • bread • liberalization • Islamic violence • poverty

Review of Radical Political Economics, Vol. 40, No. 1, 35-49 (2008)
DOI: 10.1177/0486613407311086


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