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Food Demand In Spain: An Application Of The Almost Ideal System

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  • J. A. Molina

Abstract

This paper provides an analysis of food demand in Spain for the period 1964–1989 estimating the Almost Ideal Demand System (AIDS) with annual time‐series of food expenditures divided into six categories. A dynamic version of the model incorporating habit effects captures the behaviour of the Spanish food consumer over the period investigated. The theoretical hypotheses of homogeneity and symmetry are rejected, but the model provides plausible expenditure and price elasticities.

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  • J. A. Molina, 1994. "Food Demand In Spain: An Application Of The Almost Ideal System," Journal of Agricultural Economics, Wiley Blackwell, vol. 45(2), pages 252-258, May.
  • Handle: RePEc:bla:jageco:v:45:y:1994:i:2:p:252-258
    DOI: 10.1111/j.1477-9552.1994.tb00399.x
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    File URL: https://doi.org/10.1111/j.1477-9552.1994.tb00399.x
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    1. Dermot J. Hayes & Thomas I. Wahl & Gary W. Williams, 1990. "Testing Restrictions on a Model of Japanese Meat Demand," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 72(3), pages 556-566.
    2. Blanciforti, Laura & Green, Richard, 1983. "An Almost Ideal Demand System Incorporating Habits: An Analysis of Expenditures on Food and Aggregate Commodity Groups," The Review of Economics and Statistics, MIT Press, vol. 65(3), pages 511-515, August.
    3. P. Y. Chen & M. M. Veeman, 1991. "An Almost Ideal Demand System Analysis for Meats with Habit Formation and Structural Change," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 39(2), pages 223-235, July.
    4. Burton, Michael & Young, Trevor, 1992. "The Structure of Changing Tastes for Meat and Fish in Great Britain," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 19(2), pages 165-180.
    5. Pierani, P & Rizzi, P L, 1991. "An Econometric Analysis of the Olive Oil Market in Italy," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 18(1), pages 37-60.
    6. Deaton, Angus S & Muellbauer, John, 1980. "An Almost Ideal Demand System," American Economic Review, American Economic Association, vol. 70(3), pages 312-326, June.
    7. Godfrey, Leslie G, 1978. "Testing against General Autoregressive and Moving Average Error Models When the Regressors Include Lagged Dependent Variables," Econometrica, Econometric Society, vol. 46(6), pages 1293-1301, November.
    8. Engle, Robert F, 1982. "Autoregressive Conditional Heteroscedasticity with Estimates of the Variance of United Kingdom Inflation," Econometrica, Econometric Society, vol. 50(4), pages 987-1007, July.
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