Price and income elasticities of disaggregated import demand: results from UECMs and an application
AbstractThis paper presents an empirical analysis of the demand for maize, milk powder, butter, and rice imports in Cyprus, using annual time series data covering the period 1975-1994. None of these products is produced in Cyprus and all the necessary quantities are imported to meet domestic demand. The primary objective of the paper is to derive long-run price and income elasticities of import demand that can be used to analyse the impact of various policies such as the adoption of the Common Agricultural Policy (CAP) when, and if, the Republic of Cyprus joins the European Union (EU). In so doing the paper takes on board some recent developments in time series econometrics. The cointegration test used (the 'bounds' test) is a recent test and is based on the estimation of an unrestricted error-correction model (UECM). Parsimonious models were derived using Hendry's 'general to specific' approach. The estimated elasticities were subsequently used to quantify some of the implications for Cyprus had the CAP been operational in 1994.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoArticle provided by Taylor & Francis Journals in its journal Applied Economics.
Volume (Year): 31 (1999)
Issue (Month): 9 ()
Contact details of provider:
Web page: http://www.tandfonline.com/RAEC20
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Tang, Tuck Cheong, 2003. "Japanese aggregate import demand function: reassessment from the 'bounds' testing approach," Japan and the World Economy, Elsevier, vol. 15(4), pages 419-436, December.
- Chor Foon Tang & Hooi Hooi Lean, 2009. "The Effects Of Disaggregated Savings On Economic Growth In Malaysia - Generalised Variance Decomposition Analysis," Development Research Unit Working Paper Series 04-09, Monash University, Department of Economics.
- Chor Foon Tang & Hooi Hooi Lean, 2011. "Revisit Feldstein-Horioka puzzle: evidence from Malaysia," Economics Bulletin, AccessEcon, vol. 31(3), pages 2237-2249.
- Amelia U. Santos-Paulino, 2001.
"The Effects of Trade Liberalisation on Imports in Selected Developing Countries,"
Studies in Economics
0110, Department of Economics, University of Kent.
- Santos-Paulino, Amelia U., 2002. "The Effects of Trade Liberalization on Imports in Selected Developing Countries," World Development, Elsevier, vol. 30(6), pages 959-974, June.
- James, Gregory A., 2005. "Money demand and financial liberalization in Indonesia," Journal of Asian Economics, Elsevier, vol. 16(5), pages 817-829, October.
- Tang, Chor Foon, 2010. "The determinants of health expenditure in Malaysia: A time series analysis," MPRA Paper 24356, University Library of Munich, Germany.
- Silver, Steven D. & Verbrugge, Randal, 2010. "Home production and endogenous economic growth," Journal of Economic Behavior & Organization, Elsevier, vol. 75(2), pages 297-312, August.
- Tang, Tuck Cheong, 2004. "Demand for broad money and expenditure components in Japan: an empirical study," Japan and the World Economy, Elsevier, vol. 16(4), pages 487-502, December.
- Ziramba, Emmanuel, 2009. "Disaggregate energy consumption and industrial production in South Africa," Energy Policy, Elsevier, vol. 37(6), pages 2214-2220, June.
- Akinboade, Oludele A. & Ziramba, Emmanuel & Kumo, Wolassa L., 2008. "The demand for gasoline in South Africa: An empirical analysis using co-integration techniques," Energy Economics, Elsevier, vol. 30(6), pages 3222-3229, November.
- Janesh Sami, 2011. "Multivariate Cointegration and Causality between Exports, Electricity Consumption and Real Income per Capita: Recent Evidence from Japan," International Journal of Energy Economics and Policy, Econjournals, vol. 1(3), pages 59-68, November.
- Ansgar Belke & Thorsten Polleit, 2005.
"Monetary Policy and Dividend Growth in Germany: Long-Run Structural Modelling versus Bounds Testing Approach,"
Diskussionspapiere aus dem Institut fÃ¼r Volkswirtschaftslehre der UniversitÃ¤t Hohenheim
250/2005, Department of Economics, University of Hohenheim, Germany.
- Ansgar Belke & Thorsten Polleit, 2006. "Monetary policy and dividend growth in Germany: long-run structural modelling versus bounds testing approach," Applied Economics, Taylor & Francis Journals, vol. 38(12), pages 1409-1423.
- Chor Foon Tang & Soo Y. Chua, 2012. "The savings-growth nexus for the Malaysian economy: a view through rolling sub-samples," Applied Economics, Taylor & Francis Journals, vol. 44(32), pages 4173-4185, November.
- Tang, Chor Foon, 2007. "The stability of money demand function in Japan: Evidence from rolling cointegration approach," MPRA Paper 19807, University Library of Munich, Germany.
- Fukumoto, Mayumi, 2012. "Estimation of China's disaggregate import demand functions," China Economic Review, Elsevier, vol. 23(2), pages 434-444.
- Halil Altýntas & Melike Kum, 2013. "Multivariate Granger Causality between Electricity Generation, Exports, Prices and Economic Growth in Turkey," International Journal of Energy Economics and Policy, Econjournals, vol. 3(Special), pages 41 - 51.
- Byron Gangnes & Craig Parsons, 2004.
"Have US-Japan Trade Agreements Made a Difference?,"
200403, University of Hawaii at Manoa, Department of Economics.
- Byron Gangnes & Craig Parsons, 2004. "Have U.S.-Japan Trade Agreements Made a Difference?," Working Papers 08-2004, Singapore Management University, School of Economics.
- Ertan Oktay & Giray Gozgor, 2013. "Estimation of disaggregated import demand functions for Turkey," Economics Bulletin, AccessEcon, vol. 33(1), pages 575-585.
- Ziramba, Emmanuel, 2008. "The demand for residential electricity in South Africa," Energy Policy, Elsevier, vol. 36(9), pages 3460-3466, September.
- Hoque, Mohammad Monjurul & Yusop, Zulkornain, 2010. "Impacts of trade liberalisation on aggregate import in Bangladesh: An ARDL Bounds test approach," Journal of Asian Economics, Elsevier, vol. 21(1), pages 37-52, February.
- Paresh Kumar Narayan & Russell Smyth, 2003. "Attendance and pricing at sporting events: empirical results from Granger Causality Tests for the Melbourne Cup," Applied Economics, Taylor & Francis Journals, vol. 35(15), pages 1649-1657.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Michael McNulty).
If references are entirely missing, you can add them using this form.