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A Food Demand System Estimation for Uganda

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  • Ole Boysen

    (Institute for International Integration Studies, Trinity College Dublin)

Abstract

This article estimates a household demand system for Uganda from cross-sectional household survey data. More specifically, a 13 item two-stage demand system model is estimated for rural and urban households separately where the main second-stage is represented by a Quadratic Almost Ideal Demand System which accounts for socio-demographic household characteristics and censoring and focuses on food items. Elasticities are calculated for three household expenditure groups as well as for the aggregate. We find that food expenditures tend to be more elastic for poorer households than for richer ones. All foods are generally price inelastic and price elasticities tend to decrease with rising expenditure level. A number of substitutional and complementary relationships between food items are identified.

Suggested Citation

  • Ole Boysen, 2012. "A Food Demand System Estimation for Uganda," The Institute for International Integration Studies Discussion Paper Series iiisdp396, IIIS.
    • Handle: RePEc:iis:dispap:iiisdp396
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    Cited by:

    1. Ole Boysen & Alan Matthews, 2017. "Will Economic Partnership Agreements Increase Poverty? The Case of Uganda," Review of Development Economics, Wiley Blackwell, vol. 21(2), pages 353-382, May.
    2. Larochelle, Catherine & Katungi, Enid & Cheng, Zhen, 2016. "Household consumption and demand for bean in Uganda: Determinants and implications for nutrition security," 2016 Fifth International Conference, September 23-26, 2016, Addis Ababa, Ethiopia 246457, African Association of Agricultural Economists (AAAE).
    3. Moz-Christofoletti, Maria Alice & Pereda, Paula Carvalho, 2021. "Distributional welfare and emission effects of energy tax policies in Brazil," Energy Economics, Elsevier, vol. 104(C).
    4. Paula Pereda & Maria Alice Christofoletti, 2019. "Heterogeneous welfare and emission effects of energy tax policies in Brazil," Working Papers, Department of Economics 2019_32, University of São Paulo (FEA-USP).
    5. Thanagopal, Dr. Thannaletchimy & Housset, Félix, 2017. "A quality-adjusted AIDS model in the study of French imports," International Economics, Elsevier, vol. 151(C), pages 85-99.
    6. Marta Kozicka & Matthias Kalkuhl & Jan Brockhaus, 2017. "Food Grain Policies in India and their Implications for Stocks and Fiscal Costs: A Dynamic Partial Equilibrium Analysis," Journal of Agricultural Economics, Wiley Blackwell, vol. 68(1), pages 98-122, February.
    7. Cesar Revoredo-Giha & Luiza Toma & Faical Akaichi & Ian Dawson, 2022. "Exploring the effects of increasing underutilized crops on consumers’ diets: the case of millet in Uganda," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 10(1), pages 1-21, December.
    8. Mehrani , Taha & Ghasemimand , Fatemeh & Salem , Ali Asghar, 2019. "The Effect of Socioeconomic Variables on Provincial Bread Demand Using QAIDS Model," Journal of Money and Economy, Monetary and Banking Research Institute, Central Bank of the Islamic Republic of Iran, vol. 14(4), pages 525-554, October.
    9. Ole Boysen & Hans Grinsted Jensen & Alan Matthews, 2016. "Impact of EU agricultural policy on developing countries: A Uganda case study," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 25(3), pages 377-402, June.
    10. Boysen, Ole & Matthews, Alan, 2012. "The differentiated effects of food price spikes on poverty in Uganda," 123rd Seminar, February 23-24, 2012, Dublin, Ireland 122445, European Association of Agricultural Economists.
    11. Ole Boysen, 2013. "High food prices and their implications for poverty in Uganda - From demand system estimation to simulation," EcoMod2013 5438, EcoMod.
    12. Richard Alioma & Manfred Zeller & Yee Khor Ling, 2022. "Analysis of long-term prices of micronutrient-dense and starchy staple foods in developing countries," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 10(1), pages 1-21, December.
    13. Ole Boysen, 2019. "When does specification or aggregation across consumers matter for economic impact analysis models? An investigation into demand systems," Empirical Economics, Springer, vol. 56(1), pages 137-172, January.
    14. Joselin Segovia & Mercy Orellana & Juan Pablo Sarmiento & Darwin Carchi, 2020. "The effects of taxing sugar-sweetened beverages in Ecuador: An analysis across different income and consumption groups," PLOS ONE, Public Library of Science, vol. 15(10), pages 1-18, October.
    15. Cheng, Zhen & Larochelle, Catherine, 2017. "Demand for staple foods in Niger and Nigeria: A three-stage approach," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 258382, Agricultural and Applied Economics Association.
    16. Aimable Nsabimana & Ranjula Bali Swain & Yves Surry & Jean Chrysostome Ngabitsinze, 2020. "Income and food Engel curves in Rwanda: a household microdata analysis," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 8(1), pages 1-20, December.
    17. Moz-Christofoletti, Maria Alice & Pereda, Paula Carvalho, 2021. "Winners and losers: the distributional impacts of a carbon tax in Brazil," Ecological Economics, Elsevier, vol. 183(C).
    18. Juan Carlos Caro & Shu Wen Ng & Ricardo Bonilla & Jorge Tovar & Barry M Popkin, 2017. "Sugary drinks taxation, projected consumption and fiscal revenues in Colombia: Evidence from a QUAIDS model," PLOS ONE, Public Library of Science, vol. 12(12), pages 1-16, December.
    19. Maria Alice Moz-Christofoletti & Paula Carvalho Pereda, 2021. "Winners and losers: the distributional impact of a carbon tax in Brazil," Working Papers, Department of Economics 2021_08, University of São Paulo (FEA-USP).
    20. Xiaohua Yu & Satoru Shimokawa, 2016. "Nutritional impacts of rising food prices in African countries: a review," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 8(5), pages 985-997, October.
    21. Nicholas Kilimani, 2014. "Water Taxation and the Double Dividend Hypothesis," Working Papers 201451, University of Pretoria, Department of Economics.

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    More about this item

    Keywords

    Uganda; quadratic almost ideal demand system; elasticities;
    All these keywords.

    JEL classification:

    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa
    • C31 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models; Quantile Regressions; Social Interaction Models
    • C34 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Truncated and Censored Models; Switching Regression Models

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