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Some Empirical Methods Of Estimating Advertising Effects In Demand Systems: An Application To Dried Fruits

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  • Green, Richard D.
  • Carman, Hoy F.
  • McManus, Kathleen

Abstract

Two different methods of incorporating advertising effects into Almost Ideal Demand Systems (AIDS) are presented. Both advertising schemes are designed to allow theoretical restrictions to hold globally rather than at particular sample points. The models are estimated for California figs, prunes, and raisins. Empirical results indicate that generic advertising effects for these three dried fruits are generally weak when compared to price and total expenditure effects. Estimated cross-commodity effects also are relatively small except for the negative effect of raisin advertising on the quantity of prunes demanded.

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File URL: http://purl.umn.edu/32627
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Bibliographic Info

Article provided by Western Agricultural Economics Association in its journal Western Journal of Agricultural Economics.

Volume (Year): 16 (1991)
Issue (Month): 01 (July)
Pages:

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Handle: RePEc:ags:wjagec:32627

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Web page: http://waeaonline.org/
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Related research

Keywords: Demand and Price Analysis; Marketing;

References

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  1. Farley, John U. & Hinich, Melvin & McGuire, Timothy W., 1975. "Some comparisons of tests for a shift in the slopes of a multivariate linear time series model," Journal of Econometrics, Elsevier, vol. 3(3), pages 297-318, August.
  2. John Freebairn & Bill Griffiths, 2006. "Introduction," The Economic Record, The Economic Society of Australia, vol. 82(s1), pages S1-S1, 09.
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Cited by:
  1. Lariviere, Eric & Larue, Bruno & Chalfant, Jim, 2000. "Modeling the demand for alcoholic beverages and advertising specifications," Agricultural Economics: The Journal of the International Association of Agricultural Economists, International Association of Agricultural Economists, vol. 22(2), March.
  2. Govindasamy, Ramu & Italia, John, 1999. "The Influence of Socio-Economic Characteristics on Food Advertisement Usage," P Series 36719, Rutgers University, Department of Agricultural, Food and Resource Economics.
  3. Conley, Dennis M. & Wade, Mark A., 2007. "Consumer Responses to Food Safety Information from Print Media," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association (IAMA), vol. 10(4).
  4. Silva, Andres & Garcia, Marian & Bailey, Alastair, 2012. "The Impact of Child Obesity News on Household Food Expenditure in the United Kingdom," 2012 AAEA/EAAE Food Environment Symposium, May 30-31, Boston, MA 123526, Agricultural and Applied Economics Association.
  5. Lariviere, Eric & Larue, Bruno & Chalfant, Jim, 2000. "Modeling the demand for alcoholic beverages and advertising specifications," Agricultural Economics, Blackwell, vol. 22(2), pages 147-162, March.
  6. Yeboah, Godfred & Maynard, Leigh J., 2004. "The Impact Of Bse, Fmd, And U.S. Export Promotion Expenditures On Japanese Meat Demand," 2004 Annual meeting, August 1-4, Denver, CO 19978, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  7. Richards, Timothy J. & Kagan, Albert & Gao, Xiaoming, 1997. "Factors Influencing Changes In Potato And Potato Substitute Demand," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 26(1), April.
  8. Okrent, Abigail M. & MacEwan, Joanna P., 0. "The Effects of Prices, Advertising, Expenditures, and Demographics on Demand for Nonalcoholic Beverages," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association.
  9. Cardwell, Ryan T., 2004. "Is The Efficacy Of Agricultural Promotion Programs Overestimated? The Importance Of Dynamics In Advertising Demand Systems," 2004 Annual meeting, August 1-4, Denver, CO 19949, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  10. Okrent, Abigail M. & MacEwan, Joanna P., 2014. "The Effects of Prices, Advertising, Expenditures, and Demographics on Demand for Nonalcoholic Beverages," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 43(1), April.

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