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Differential Demand Systems: A Further Look at Barten's Synthesis

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  • Toshinobu Matsuda

    ()
    (Department of Agricultural Management and Information Science, Tottori University)

Abstract

Barten's synthetic model is attractive to applied researchers since it is useful for testing the adequacy of the competing functional forms of differential demand systems including the popular Rotterdam and almost ideal demand systems. This article shows that the synthetic model is not a mere artificial composite of the known differential demand systems as it has been considered, but rather viewed as a model in its own right. It is demonstrated that, at the individual consumer level, Barten's model has the same marginal budget shares as generated by specific forms of Engel curves formulated by the Box–Cox transformation.

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Bibliographic Info

Article provided by Southern Economic Association in its journal Southern Economic Journal.

Volume (Year): 71 (2005)
Issue (Month): 3 (January)
Pages: 607-619

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Handle: RePEc:sej:ancoec:v:71:3:y:2005:p:607-619

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Cited by:
  1. Muhammad, Andrew & Ngeleza, Guyslain, 2010. "Emergence of Sri Lanka in European fish trade," IFPRI discussion papers 978, International Food Policy Research Institute (IFPRI).
  2. Bernadette Power & Gavin C. Reid, 2005. "A Test of Real Options Logic," CRIEFF Discussion Papers 0509, Centre for Research into Industry, Enterprise, Finance and the Firm.
  3. Muhammad, Andrew & D’Souza, Anna & Amponsah, William, 2013. "Violence, Instability, and Trade: Evidence from Kenya’s Cut Flower Sector," World Development, Elsevier, vol. 51(C), pages 20-31.
  4. Widenhorn, Andreas & Salhofer, Klaus, 2012. "Price sensitivity within and across retail formats," Congress Papers 124108, Italian Association of Agricultural and Applied Economics (AIEAA).
  5. Okrent, Abigail M. & Alston, Julian M., 2011. "Demand for Food in the United States: A Review of Literature, Evaluation of Previous Estimates, and Presentation of New Estimates of Demand," Working Papers 162515, Robert Mondavi Institute Center for Wine Economics.
  6. Okrent, Abigail M. & Alston, Julian M., 2012. "The Demand for Disaggregated Food-Away-from-Home and Food-at-Home Products in the United States," Economic Research Report 132469, United States Department of Agriculture, Economic Research Service.

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