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Choosing between the AIDS and Rotterdam models: A meat demand analysis case study

  • Taljaard, Pieter R.
  • van Schalkwyk, Herman D.
  • Alemu, Zerihun Gudeta
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    Due to the inability of economic theory to choose ex ante between the Almost Ideal Demand System (AIDS) and the Rotterdam model, a non-nested test was used. The results of the non-nested test points to the Linearized-AIDS model applied to 31 years of meat consumption data in South Africa. When comparing the estimated demand relations of the two models, the LA/AIDS model also proved to be better fit for South African meat demand.

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    File URL: http://purl.umn.edu/31710
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    Article provided by Agricultural Economics Association of South Africa (AEASA) in its journal Agrekon.

    Volume (Year): 45 (2006)
    Issue (Month): 2 (June)
    Pages:

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    Handle: RePEc:ags:agreko:31710
    Contact details of provider: Web page: http://www.aeasa.org.za/
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    1. Alston, Julian M. & Chalfant, James A., 1991. "Can We Take The Con Out Of Meat Demand Studies?," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 16(01), July.
    2. Davidson, Russell & MacKinnon, James G, 1981. "Several Tests for Model Specification in the Presence of Alternative Hypotheses," Econometrica, Econometric Society, vol. 49(3), pages 781-93, May.
    3. Dameus, Alix & Richter, Francisca G.-C. & Brorsen, B. Wade & Sukhdial, Kullapapruk Piewthongngam, 2002. "Aids Versus The Rotterdam Demand System: A Cox Test With Parametric Bootstrap," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 27(02), December.
    4. Badurally-Adam, M.S.A. & Darroch, Mark A.G., 1997. "Impact on South African meat demand of a possible free trade agreement with the European Union," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 36(4), December.
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