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Revealing fundamental demand parameters: A new theoretically consistent meta-regression approach to US food demand elasticities

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  • Jeon, Younghyeon
  • Thompson, Wyatt
  • Miller, J. Isaac
  • Hoang, Hoa
  • Abler, David

Abstract

Demand elasticities are critical inputs for estimating the impacts of many food policies, yet efforts to derive these key parameters from past studies suffer from underlying inconsistencies. Typical demand elasticities drawn from meta-analyses often fail to deliver fundamental parameters consistent with economic theory. This practice could cause at least three drawbacks: (1) demand elasticities might violate symmetry, adding up, or other requirements of applied demand theory, (2) demands do not integrate into a utility function and cannot support welfare analysis, and (3) parameters often violate the theoretical underpinnings of the source studies from which they are drawn.

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  • Jeon, Younghyeon & Thompson, Wyatt & Miller, J. Isaac & Hoang, Hoa & Abler, David, 2025. "Revealing fundamental demand parameters: A new theoretically consistent meta-regression approach to US food demand elasticities," Food Policy, Elsevier, vol. 136(C).
    • Handle: RePEc:eee:jfpoli:v:136:y:2025:i:c:s0306919225001563
    DOI: 10.1016/j.foodpol.2025.102951
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