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Aggregate Demand for Imported Whole Milk in Spain: Implications for the European Union (EU)

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  • Feleke, Shiferaw T.
  • Liu, Hongyan

Abstract

We provide estimates of expenditure and price elasticities of the demand for imported milk in Spain using a dynamic Linear Approximate of the Almost Ideal Demand System (LA-AIDS). We also provide evidence of structural change in the demand for imported milk in Spain due to the dairy program established in 1966 and Spain's accession into the EU in 1986. Results have important implications for the EU in terms of demand forecasting, welfare analysis, and resource allocation to design an effective production and supply plan.

Suggested Citation

  • Feleke, Shiferaw T. & Liu, Hongyan, 2005. "Aggregate Demand for Imported Whole Milk in Spain: Implications for the European Union (EU)," Journal of Food Distribution Research, Food Distribution Research Society, vol. 36(2), pages 1-9, July.
    • Handle: RePEc:ags:jlofdr:27718
    DOI: 10.22004/ag.econ.27718
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    2. Dengjun Zhang, 2015. "The trade effect of price risk: a system-wide approach," Empirical Economics, Springer, vol. 48(3), pages 1149-1167, May.
    3. Yeong Tey & Mark Brindal, 2014. "Adapting importation policy to global commodity markets: implications of rice import allocation in Singapore," Mitigation and Adaptation Strategies for Global Change, Springer, vol. 19(8), pages 1277-1293, December.
    4. Rodrigo Garc?a Arancibia, 2019. "Import Demand for Dairy Products in Chile and Competition among Exporting Countries: The Case of Milk Powder and Cheese," Economia agro-alimentare, FrancoAngeli Editore, vol. 21(1), pages 101-128.

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