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Lithuania's Food Demand During Economic Transition

  • Hossain, Ferdaus
  • Jensen, Helen H.

The linear approximate version of the almost ideal demand system (LA-AIDS) model is estimated using data from the Lithuanian household budget survey (HBS) covering the period from July 1992 to December 1994. Price and real expenditure elasticities for 12 food groups were estimated based on the estimated coefficients of the model. Very little or nothing is known about the demand parameters of Lithuania and other former socialist countries, so the results are of intrinsic interest. Estimated expenditure elasticities were positive and statistically significant for all food groups, while all own-price elasticities were negative and statistically significant, except for that of eggs which was insignificant. Results suggest that Lithuanian household consumption did respond to price and real income changes during their transition to a market-oriented economy.

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File URL: http://www.econ.iastate.edu/sites/default/files/publications/papers/paper_1715.pdf
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Paper provided by Iowa State University, Department of Economics in its series Staff General Research Papers with number 1715.

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Date of creation: 01 Jun 2000
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Publication status: Published in Agricultural Economics, June 2000, vol. 23 no. 1, pp. 31-40
Handle: RePEc:isu:genres:1715
Contact details of provider: Postal: Iowa State University, Dept. of Economics, 260 Heady Hall, Ames, IA 50011-1070
Phone: +1 515.294.6741
Fax: +1 515.294.0221
Web page: http://www.econ.iastate.edu
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  1. Hennessy, David A. & Babcock, Bruce A. & Hayes, Dermot J., 1997. "Budgetary and Producer Welfare Effects of Revenue Insurance," Staff General Research Papers 1100, Iowa State University, Department of Economics.
  2. Bruce A. Babcock & Gregory R. Pautsch, 1997. "Moving from Uniform to Variable Fertilizer Rates on Iowa Corn: Effects on Rates and Returns," Center for Agricultural and Rural Development (CARD) Publications 97-wp182, Center for Agricultural and Rural Development (CARD) at Iowa State University.
  3. Alicia L. Carriquiry & F. Jay Breidt & P. G. Lakshminarayan, 1997. "Sampling Schemes for Policy Analyses Using Computer Simulation Experiments," Center for Agricultural and Rural Development (CARD) Publications 97-wp184, Center for Agricultural and Rural Development (CARD) at Iowa State University.
  4. Helen H. Jensen & Laurian J. Unnevehr & Miguel I. Gomez, 1998. "Costs of Improving Food Safety in the Meat Sector, The," Center for Agricultural and Rural Development (CARD) Publications 98-wp189, Center for Agricultural and Rural Development (CARD) at Iowa State University.
  5. Jean D. Opsomer & D. Ruppert & M. P. Wand & U. Holst & O. Hussjer, 1998. "Kriging With Nonparametric Variance Function Estimation," Center for Agricultural and Rural Development (CARD) Publications 98-wp188, Center for Agricultural and Rural Development (CARD) at Iowa State University.
  6. repec:cup:cbooks:9780521438827 is not listed on IDEAS
  7. Peter K Cornelius, 1995. "Cash Benefits and Poverty Alleviation in an Economy in Transition: The Case of Lithuania," Comparative Economic Studies, Palgrave Macmillan, vol. 37(2), pages 49-69, July.
  8. Deaton, Angus S & Muellbauer, John, 1980. "An Almost Ideal Demand System," American Economic Review, American Economic Association, vol. 70(3), pages 312-26, June.
  9. Tigran A. Melkonian & Stanley R. Johnson, 1998. "State Trading Companies, Time Inconsistency, Imperfect Enforceability and Reputation," Food and Agricultural Policy Research Institute (FAPRI) Publications 98-wp192, Food and Agricultural Policy Research Institute (FAPRI) at Iowa State University.
  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.
  11. Tigran A. Melkonian & Stanley R. Johnson, 1998. "State Trading Companies, Time Inconsistency, Imperfect Enforceability and Reputation," Center for Agricultural and Rural Development (CARD) Publications 98-wp192, Center for Agricultural and Rural Development (CARD) at Iowa State University.
  12. repec:cup:cbooks:9780521433297 is not listed on IDEAS
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