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Econometric Models of Propensities

Author

Listed:
  • Hozer Józef
  • Doszyń Mariusz

    (Department of Econometrics and Statistics Faculty of Economics and Management, University of Szczecin, Mickiewicza 64, 71 - 101 Szczecin)

Abstract

Human being is one of the most important sources of causative forces of events that assemble economical processes. Working out the effective tools that enable measurement of the impact of people on socio-economic processes is necessary in analyzing, troubleshooting and forecasting. In the article the issues of calculating propensities by means of properly specified econometrics models were presented. The definition of propensity was introduced. Questions connected with topic of propensities were presented in context of concepts promoted by Szczecin school of econometrics (pentagon of sources of causative forces, types of relationships in economics, geometric interpretation of personality, broom of events). Econometric models, useful in analyzing propensities, were classified on primary models, econometrics models of average propensities and econometrics models of marginal propensities. Connections between the models were described. Settlement of analytical shapes of characterized models was mentioned. In an empirical example the presented methods were used to analyze average and marginal propensity to consumption of alcoholic beverages and tobacco in the households of employees in manual labour positions in Poland in years 1993-2005.

Suggested Citation

  • Hozer Józef & Doszyń Mariusz, 2007. "Econometric Models of Propensities," Folia Oeconomica Stetinensia, Sciendo, vol. 6(1), pages 15-25, January.
    • Handle: RePEc:vrs:foeste:v:6:y:2007:i:1:p:15-25:n:8
    DOI: 10.2478/v10031-007-0008-1
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