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Demand for Environmental Quality: An Empirical Analysis of Consumer Behavior in Sweden

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Author Info

  • Ghalwash, Tarek

    ()
    (Department of Economics, Umeå University)

Abstract

In this paper we estimate the income elasticity of demand for recreational services and other traditional groups of goods in Sweden and test for potential changes in such estimates over the twentieth century. Due to the difficulty of directly observing the demand for recreational services, we employ an indirect methodology by using the demand for some outdoor goods as a proxy for the demand for recreational services. In line with most prior research, our results confirm the expectation that recreational services, as a public good, is a luxury good in Sweden. Our results also show that the income elasticities for traditional goods are stable over time, indicating that consumer preferences for expenditure on these specific commodities do not change over time.

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File URL: http://www.econ.umu.se/DownloadAsset.action?contentId=52340&languageId=3&assetKey=ues676
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Bibliographic Info

Paper provided by Umeå University, Department of Economics in its series Umeå Economic Studies with number 676.

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Length: 24 pages
Date of creation: 05 May 2006
Date of revision:
Handle: RePEc:hhs:umnees:0676

Contact details of provider:
Postal: Department of Economics, Umeå University, S-901 87 Umeå, Sweden
Phone: 090 - 786 61 42
Fax: 090 - 77 23 02
Email:
Web page: http://www.econ.umu.se/
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Related research

Keywords: Household demand; environmental services; income elasticities; Engel curves;

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References

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  1. Chalfant, James A, 1987. "A Globally Flexible, Almost Ideal Demand System," Journal of Business & Economic Statistics, American Statistical Association, American Statistical Association, vol. 5(2), pages 233-42, April.
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Cited by:
  1. Ghalwash, Tarek, 2006. "Income, Energy Taxation, and the Environment: An Econometric Analysis," UmeÃ¥ Economic Studies, UmeÃ¥ University, Department of Economics 678, Umeå University, Department of Economics.
  2. Brännlund, Runar & Ghalwash, Tarek, 2006. "The income-pollution relationship and the role of income distribution Evidence from Swedish household data," UmeÃ¥ Economic Studies, UmeÃ¥ University, Department of Economics 677, Umeå University, Department of Economics.
  3. Brännlund, Runar & Ghalwash, Tarek, 2008. "The income-pollution relationship and the role of income distribution: An analysis of Swedish household data," Resource and Energy Economics, Elsevier, Elsevier, vol. 30(3), pages 369-387, August.

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