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Household versus Community Effects: Who Really Pays More for Food?

  • Stewart, Hayden
  • Blisard, Noel

One strand of literature shows a household’'s cost of food to vary with the household’'s own income and demographic characteristics. For example, low-income households may tend to purchase less costly bundles of food. However, a separate strand of literature also shows food prices to vary spatially with the characteristics of communities, such as real estate prices. In this study, a model is developed that unites these two strands. Simulations further illustrate the effect that a community’'s characteristics can have on a household’'s food budget, if the household lives in each of ten cities in the United States.

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File URL: http://purl.umn.edu/21053
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Paper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2006 Annual meeting, July 23-26, Long Beach, CA with number 21053.

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Date of creation: 2006
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Handle: RePEc:ags:aaea06:21053
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