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Income and Food Expenditures Decomposed by Cohort, Age, and Time Effects

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  • Blisard, Noel

Abstract

This report expands aggregate lifecycle expenditure analysis by separating generational or cohort effects from aging effects. This is important since different generations or age groups may exhibit expenditure patterns that are the result of higher incomes and/or different tastes and preferences. Ignoring these generational effects produces income and consumption age profiles that can be misleading. With accurate consumption and age profiles, policymakers can gain a better idea of food intake patterns by cohort, and thereby identify groups that may need additional diet and health information. Using survey data to follow eight cohort groups from 1982 through 1995, this study found that: real per capita income increased for all cohorts, except for the very youngest, with a peak in earnings between the ages of 50 and 59; all food categories except for vegetables and sugar and sweets have statistically significant cohort effects; younger cohorts spent less than older cohorts on food at home, meat, poultry, fish, eggs, and dairy products, but more on cereal and bakery goods as well as miscellaneous prepared foods. This study found no evidence that younger cohorts spend more than older cohorts on food away from home.

Suggested Citation

  • Blisard, Noel, 2001. "Income and Food Expenditures Decomposed by Cohort, Age, and Time Effects," Technical Bulletins 33552, United States Department of Agriculture, Economic Research Service.
    • Handle: RePEc:ags:uerstb:33552
    DOI: 10.22004/ag.econ.33552
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    Citations

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    Cited by:

    1. Hiroshi Mori & Dennis L. Clason & Jay M. Lillywhite, 2006. "Estimating price and income elasticities in the presence of age-cohort effects," Agribusiness, John Wiley & Sons, Ltd., vol. 22(2), pages 201-217.
    2. Wendt, Minh & Kinsey, Jean D., 2007. "Do Eating Patterns Follow a Cohort or Change Over a Lifetime? Answers Emerging from the Literature," Working Papers 7071, University of Minnesota, The Food Industry Center.
    3. Claudio, Sapelli, 2014. "Desigualdad, movilidad, pobreza: necesidad de una política diferente," Estudios Públicos, Centro de Estudios Públicos, vol. 0(134), pages 59-84.
    4. Stefan Mann & Daria Loginova, 2023. "Distinguishing inter- and pangenerational food trends," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 11(1), pages 1-18, December.
    5. Velarde, Melanie & Herrmann, Roland, 2014. "How retirement changes consumption and household production of food: Lessons from German time-use data," The Journal of the Economics of Ageing, Elsevier, vol. 3(C), pages 1-10.
    6. Magdalena Smyk & Joanna Tyrowicz & Barbara Liberda, 2014. "Age-productivity patterns in talent occupations for men and women: a decomposition," Post-Communist Economies, Taylor & Francis Journals, vol. 26(3), pages 401-414, September.
    7. Ji Yong Lee & Yiwei Qian & Geir Wæhler Gustavsen & Rodolfo M. Nayga & Kyrre Rickertsen, 2020. "Effects of consumer cohorts and age on meat expenditures in the United States," Agricultural Economics, International Association of Agricultural Economists, vol. 51(4), pages 505-517, July.
    8. David Aristei & Federico Perali & Luca Pieroni, 2008. "Cohort, age and time effects in alcohol consumption by Italian households: a double-hurdle approach," Empirical Economics, Springer, vol. 35(1), pages 29-61, August.
    9. Drescher, Larissa S. & Roosen, Jutta, 2013. "A Cohort Analysis of Food-at-Home and Food-away-from-Home Expenditures in Germany," Journal of International Agricultural Trade and Development, Journal of International Agricultural Trade and Development, vol. 62(1).
    10. Federico Perali & David Aristei & Luca Pieroni, 2005. "Cohort analysis of alcohol consumption: a double hurdle approach," CHILD Working Papers wp09_05, CHILD - Centre for Household, Income, Labour and Demographic economics - ITALY.
    11. Byeong-Il Ahn, 2019. "Investigation of asymmetric impulse responses between average consumption propensity and average food consumption propensity of household in Korea," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 65(9), pages 415-424.
    12. Drescher, Larissa S. & Roosen, Jutta, 2013. "A Cohort Analysis of Food-at-Home and Food-away-from-Home Expenditures in Germany," German Journal of Agricultural Economics, Humboldt-Universitaet zu Berlin, Department for Agricultural Economics, vol. 62(01), pages 1-13, February.
    13. Drescher, Larissa S. & Roosen, Jutta, 2010. "An Analysis Of The Retirement-Consumption Puzzle For Food-At-Home And Away-From-Home Expenditures In Germany," 115th Joint EAAE/AAEA Seminar, September 15-17, 2010, Freising-Weihenstephan, Germany 116441, European Association of Agricultural Economists.

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