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Estimates of Food Demand Elasticities for Great Britain: 1972–1994

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  • Abigail Tiffin
  • Richard Tiffin

Abstract

This paper reports the results of the estimation of Almost Ideal Demand Systems (AIDS) for UK food demand using time series data from the National Food Survey. A Bayesian approach is used to impose curvature restrictions in the model. The aim is to obtain estimates of Hicksian, Marshallian and expenditure demand elasticities for UK food which are fully consistent with static optimisation by consumers. Overall, the results concur with expectations as aggregate food demand is both price and income inelastic and individual food categories are mostly price and income inelastic. The notable exception being meat, specifically pork, beef and chicken.

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  • Abigail Tiffin & Richard Tiffin, 1999. "Estimates of Food Demand Elasticities for Great Britain: 1972–1994," Journal of Agricultural Economics, Wiley Blackwell, vol. 50(1), pages 140-147, January.
    • Handle: RePEc:bla:jageco:v:50:y:1999:i:1:p:140-147
    DOI: 10.1111/j.1477-9552.1999.tb00800.x
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    5. Srivastava, S.K. & Mathur, V.C. & Sivaramane, N. & Kumar, Ranjit & Hasan, Rooba & Meena, P.C., 2013. "Unravelling Food Basket of Indian Households: Revisiting Underlying Changes and Future Food Demand," Indian Journal of Agricultural Economics, Indian Society of Agricultural Economics, vol. 68(4), pages 1-17.
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    8. Bailey, A. & Williams, N. & Palmer, M. & Geering, R., 2000. "The farmer as service provider: the demand for agricultural commodities and equine services," Agricultural Systems, Elsevier, vol. 66(3), pages 191-204, December.
    9. Bakker, Jan David & Datta, Nikhil & Davies, Richard & De Lyon, Josh, 2023. "Brexit and consumer food prices," The Warwick Economics Research Paper Series (TWERPS) 1461, University of Warwick, Department of Economics.
    10. Tao Xiang & Jikun Huang & d’Artis Kancs & Scott Rozelle & Jo Swinnen, 2012. "Food Standards and Welfare: General Equilibrium Effects," Journal of Agricultural Economics, Wiley Blackwell, vol. 63(2), pages 223-244, June.
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    12. Klaus Salhofer & Christoph Tribl & Franz Sinabell, 2012. "Market power in Austrian food retailing: the case of milk products," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 39(1), pages 109-122, February.
    13. Bilgic, Abdulbaki & Yen, Steven T., 2013. "Household food demand in Turkey: A two-step demand system approach," Food Policy, Elsevier, vol. 43(C), pages 267-277.
    14. Jan David Bakker & Nikhil Datta & Richard Davies & Josh De Lyon, 2022. "Non-tariff barriers and consumer prices: evidence from Brexit," CEP Discussion Papers dp1888, Centre for Economic Performance, LSE.
    15. Awal, M. A. & Sabur, S. Abdus & Mia, M. I. A., 2008. "Estimation Of Vegetable Demand Elasticities In Bangladesh: Application Of Almost Ideal Demand System Model," Bangladesh Journal of Agricultural Economics, Bangladesh Agricultural University, vol. 31(1-2), pages 1-26, December.
    16. Silva, Andres & Garcia, Marian & Bailey, Alastair, 2012. "The Impact of Child Obesity News on Household Food Expenditure in the United Kingdom," 2012 AAEA/EAAE Food Environment Symposium 123526, Agricultural and Applied Economics Association.
    17. Sophie DROGUE & Stephan MARETTE & Priscila RAMOS, 2010. "Product Differentiation and Trade: An Example From the Bovine Meat Sector," EcoMod2004 330600043, EcoMod.
    18. Bouamra-Mechemache, Zohra & Réquillart, Vincent & Soregaroli, Claudio & Trévisiol, Audrey, 2008. "Demand for dairy products in the EU," Food Policy, Elsevier, vol. 33(6), pages 644-656, December.
    19. Abiodun O. OTUNAIYA & Adebayo M. SHITTU, 2014. "Complete household demand system of vegetables in Ogun State, Nigeria," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 60(11), pages 509-516.
    20. Kumar, Praduman & Dey, Madan Mohan & Paraguas, Ferdinand J., 2005. "Demand for Fish by Species in India: Three-stage Budgeting Framework," Agricultural Economics Research Review, Agricultural Economics Research Association (India), vol. 18(2), July.
    21. Debnath, Biswajit & Biradar, R.S. & Ananthan, P.S. & Pandey, S.K., 2012. "Estimation of Demand for Different Fish Groups in Tripura," Agricultural Economics Research Review, Agricultural Economics Research Association (India), vol. 25(2).
    22. Maria Priscila Ramos & Sophie Drogué & Stephan Marette, 2006. "Welfare Measurement Biases and Product Differentiation in Agriculture: An Example from the US Beef Sector," Working Papers 2006/02, INRA, Economie Publique.
    23. James A. Edmonds & Robert Link & Stephanie T. Waldhoff & Ryna Cui, 2017. "A Global Food Demand Model For The Assessment Of Complex Human-Earth Systems," Climate Change Economics (CCE), World Scientific Publishing Co. Pte. Ltd., vol. 8(04), pages 1-22, November.
    24. Duffy, Martyn, 2003. "Advertising and food, drink and tobacco consumption in the United Kingdom: a dynamic demand system," Agricultural Economics, Blackwell, vol. 28(1), pages 51-70, January.

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