The Role of Hidden Costs in Agri-Food Systems: Economic, Environmental, and Social Consequences

Abstract

This article examines the concept of hidden costs in agri-food systems and their impact on the sustainability of the economy, environment, and public health. Hidden costs, which are not reflected in traditional financial reports, include environmental, social, and medical expenses, such as greenhouse gas emissions, ecosystem degradation, social inequalities, and adverse health effects on the population. Using statistical data and a methodology for assessing hidden costs, the author analyzes their distribution and proposes incorporating them into policy development to address the food crisis and improve food security in developing countries. The purpose of this study is to emphasize the importance of integrating hidden costs into economic models and policy decisions to increase the efficiency of agri-food systems and reduce their negative impacts on society.