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Estimation of Household Demand Systems Using Unit Value Data

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  • Preston, Ian
  • Laisney, François
  • Crawford, Ian A.

Abstract

We develop a method for estimation of price reactions using unit value data which exploits the implicit links between quantity and unit value choices. This allows us to combine appealing Engel curve specifications with a model of unit value determination in a way which is consistent with demand theory, unlike methods hitherto prominent in the literature. The method is applied to Czech data. --

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Bibliographic Info

Paper provided by ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research in its series ZEW Discussion Papers with number 97-06.

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Date of creation: 1997
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Handle: RePEc:zbw:zewdip:7131

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Keywords: Consumer demand; unit values; quality;

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Cited by:
  1. Lahatte, Agenor, 2003. "Restrictions on the autoregressive parameters of share systems with spatial dependence," Economics Letters, Elsevier, vol. 78(2), pages 225-229, February.
  2. Lahatte, Agenor & Miquel, Ruth & Laisney, Francois & Preston, Ian, 1998. "Demand systems with unit values:: A comparison of two specifications," Economics Letters, Elsevier, vol. 58(3), pages 281-290, March.

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