Bayesian Estimation of a Censored Linear Almost Ideal Demand System: Food Demand in Pakistan
AbstractA censored linear almost ideal demand system for food is estimated with a Bayesian Markov chain Monte Carlo procedure, using a sample of urban households from Pakistan. All own-price elasticities but one are found to be negative, and all total food expenditure elasticities are found to be positive, with a high posterior probability. There is a mix of gross complements and substitutes among the food products, while net substitution is the predominant pattern. Household characteristics play a role in food expenditures, and regional differences exist. These demand elasticities can inform policy deliberations by the national government and international organizations. Copyright 2011, Oxford University Press.
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Bibliographic InfoArticle provided by Agricultural and Applied Economics Association in its journal American Journal of Agricultural Economics.
Volume (Year): 93 (2011)
Issue (Month): 5 ()
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- Bilgic, Abdulbaki & Yen, Steven T., 2013. "Household food demand in Turkey: A two-step demand system approach," Food Policy, Elsevier, vol. 43(C), pages 267-277.
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