The International Monetary Fund advises on economics, not politics. For instance, it recommends that governments cut food subsidies. Makes sense. If governments spend less on food, they can spend more on education, hospitals, and roads.
But what if rising food prices sparks popular unrest?
This is exactly what happened in Egypt earlier this year. Food prices have risen twenty percent in the past year and are still rising. Food accounts for $0.48 of every $1 spent by an Egyptian household. The increase hurts. It was the spark for riots in the satellite suburb of Mahalla.
