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Flexible Specification of Mixed Demand Systems

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  • Giancarlo Moschini
  • Vissa Anuradha

Abstract

Common flexible functional forms are not very useful for modeling mixed demand systems because derivation of mixed demands requires closed forms for both direct and indirect utility functions. In this paper we study the alternative of using a direct approximation to mixed demands. We develop a new approach to Slutsky relations for mixed demand functions allowing formulation of a Rotterdam mixed demand model. The resulting mixed demand system is illustrated with an application to meat demand in Canada.

Suggested Citation

  • Giancarlo Moschini & Vissa Anuradha, 1993. "Flexible Specification of Mixed Demand Systems," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 75(1), pages 1-9.
    • Handle: RePEc:oup:ajagec:v:75:y:1993:i:1:p:1-9.
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    File URL: http://hdl.handle.net/10.2307/1242948
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    Cited by:

    1. Baldwin, Katherine L. & Jones, Keithly G., 2012. "U.S. Citrus Import Demand: Seasonality and Substitution," 2012 Annual Meeting, February 4-7, 2012, Birmingham, Alabama 119741, Southern Agricultural Economics Association.
    2. Clements, Kenneth W. & Gao, Grace, 2015. "The Rotterdam demand model half a century on," Economic Modelling, Elsevier, vol. 49(C), pages 91-103.
    3. Karel Janda & Jill J. McCluskey & Gordon C. Rausser, 2000. "Food Import Demand in the Czech Republic," Journal of Agricultural Economics, Wiley Blackwell, vol. 51(1), pages 22-44, January.
    4. Sarker, Dr. Rakhal & Koto, Prosper & Cassidy, Heather, "undated". "A Demand System for Major Dairy Products in Ontario," 2015 Conference, August 9-14, 2015, Milan, Italy 212689, International Association of Agricultural Economists.
    5. Stockton, Matthew C. & Capps, Oral, Jr. & Bessler, David A., 2004. "Samuelson'S Full Duality And The Use Of Directed Acyclical Graphs: The Birth Of Causally Identified Demand Systems," 2004 Annual meeting, August 1-4, Denver, CO 19969, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    6. Coloma, German, 2009. "Estimation of Demand Systems Based on Elasticities of Substitution," Review of Applied Economics, Lincoln University, Department of Financial and Business Systems, vol. 5(01-2), pages 1-18, March.
    7. Veeman, Michele M. & Peng, Yanning, 1997. "Canadian Dairy Demand," Project Report Series 24037, University of Alberta, Department of Resource Economics and Environmental Sociology.
    8. Moschini, GianCarlo & Moro, D., 1993. "Food Demand System for Canada, A," Staff General Research Papers Archive 12753, Iowa State University, Department of Economics.
    9. Carlos Arnade & Fred Kuchler & Linda Calvin, 2016. "The changing role of consumers and suppliers in a food safety event: the 2006 foodborne illness outbreak linked to spinach," Applied Economics, Taylor & Francis Journals, vol. 48(25), pages 2354-2366, May.
    10. Hjertstrand, Per, 2022. "Nonparametric Analysis of the Mixed-Demand Model," Working Paper Series 1430, Research Institute of Industrial Economics.
    11. Karagiannis, G. & Katranidis, S. & Velentzas, K., 2000. "An error correction almost ideal demand system for meat in Greece," Agricultural Economics, Blackwell, vol. 22(1), pages 29-35, January.
    12. Zhang, Xu & Goddard, Ellen W., 2010. "Analysis of Value-Added Meat Product Choice Behaviour by Canadian Households," Project Report Series 99703, University of Alberta, Department of Resource Economics and Environmental Sociology.
    13. Peng, Yanning & McCann-Hiltz, Diane & Goddard, Ellen W., 2004. "Consumer Demand For Meat In Alberta, Canada: Impact Of Bse," 2004 Annual meeting, August 1-4, Denver, CO 20331, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    14. Rodriguez, Nestor & Eales, James S., 2015. "Structural Change via Threshold Effects: Estimating U.S. Meat Demand Using Smooth Transition Functions and the Effects of More Women in the Labor Force," 2015 AAEA & WAEA Joint Annual Meeting, July 26-28, San Francisco, California 206522, Agricultural and Applied Economics Association.

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