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For Whom Reduced Prices Count: A Censored Quantile Regression Analysis Of Vegetable Demand

  • Gustavsen, Geir Waehler
  • Rickertsen, Kyrre

Low consumption of vegetables is linked to many diseases. From a health perspective, the distribution of consumption is at least as important as mean consumption. We investigated the differential effects of policy changes on high- and low-consuming households by using 15,700 observations from 1986 to 1997. Many households did not purchase vegetables during the two-week survey periods and censored as well as ordinary quantile regressions were estimated. Removal of the value added tax for vegetables, income increases, and health information are unlikely to substantially increase purchases in low-consuming households. Nevertheless, information provision is cheap and best targeted at low-consuming households.

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Paper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2004 Annual meeting, August 1-4, Denver, CO with number 20172.

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Date of creation: 2004
Date of revision:
Handle: RePEc:ags:aaea04:20172
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  1. Jayachandran N. Variyam & James Blaylock & David Smallwood, 2002. "Characterizing the Distribution of Macronutrient Intake among U.S. Adults: A Quantile Regression Approach," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 84(2), pages 454-466.
  2. Amemiya, Takeshi, 1984. "Tobit models: A survey," Journal of Econometrics, Elsevier, vol. 24(1-2), pages 3-61.
  3. Rickertsen, Kyrre & Chalfant, James A & Steen, Marie, 1995. "The Effects of Advertising on the Demand for Vegetables," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 22(4), pages 481-94.
  4. Koenker, Roger W & Bassett, Gilbert, Jr, 1978. "Regression Quantiles," Econometrica, Econometric Society, vol. 46(1), pages 33-50, January.
  5. Moshe Buchinsky, 1998. "Recent Advances in Quantile Regression Models: A Practical Guideline for Empirical Research," Journal of Human Resources, University of Wisconsin Press, vol. 33(1), pages 88-126.
  6. Kyrre Rickertsen & Dadi Kristofersson & Solveig Lothe, 2003. "Effects of health information on Nordic meat and fish demand," Empirical Economics, Springer, vol. 28(2), pages 249-273, 04.
  7. Stewart, Hayden & Blisard, Noel & Jolliffe, Dean, 2003. "Do Income Constraints Inhibit Spending on Fruits and Vegetables Among Low-Income Households?," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 28(03), December.
  8. Powell, James L., 1986. "Censored regression quantiles," Journal of Econometrics, Elsevier, vol. 32(1), pages 143-155, June.
  9. Buchinsky, Moshe, 1994. "Changes in the U.S. Wage Structure 1963-1987: Application of Quantile Regression," Econometrica, Econometric Society, vol. 62(2), pages 405-58, March.
  10. Moschini, GianCarlo, 1995. "Units of Measurement and the 'Stone Index' In Demand System Estimation," Staff General Research Papers 5058, Iowa State University, Department of Economics.
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