Engel Curves and Equivalence Scales for Bangladesh
AbstractThis paper examines the Engel curve for major expenditure categories and estimates equivalence scales for Bangladesh. We compare Engel curves estimated by semi-parametric techniques to those arising from models based on consumer theory. Our analysis supports the argument that quadratic food Engel curves are a feature of developing countries. Knowledge about the correct speci cation of the Engel curve has important implications for modelling household responses to negative income shocks.
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Bibliographic InfoPaper provided by The Australian National University, Australia South Asia Research Centre in its series ASARC Working Papers with number 2012-15.
Date of creation: 2012
Date of revision:
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More information through EDIRC
Engel Curve; Semi-parametric Estimation; Semi-nonparametric Estimation; Partial Linear Model; Equivalence Scale; Base Independence; Shape Invariance;
Find related papers by JEL classification:
- D11 - Microeconomics - - Household Behavior - - - Consumer Economics: Theory
- O21 - Economic Development, Technological Change, and Growth - - Development Planning and Policy - - - Planning Models; Planning Policy
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