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Censored Quantile Regression and Purchases of Ice Cream

  • Gustavsen, Geir Waehler
  • Jolliffe, Dean
  • Rickertsen, Kyrre

The effects on purchases of ice cream of increasing the value added tax (VAT) for less healthy foods and removing the VAT for healthy foods are estimated. The effects on high- and low-purchasing households are estimated by using quantile regressions. Many households did not purchase ice cream and censored quantile regressions are estimated by a recently developed algorithm, which is simple, robust, and performs well near the censoring point. High-purchasing households will reduce their annual per capita purchases with 1.8 kilograms corresponding to an annual reduction of more than half a kilogram of body weight.

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File URL: http://purl.umn.edu/6534
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Paper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida with number 6534.

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Date of creation: 2008
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Handle: RePEc:ags:aaea08:6534
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  8. Geir Wæhler Gustavsen & Kyrre Rickertsen, 2006. "A Censored Quantile Regression Analysis of Vegetable Demand: The Effects of Changes in Prices and Total Expenditure," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 54(4), pages 631-645, December.
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