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Demand for Food Away from Home in Slovakia

Author

Listed:
  • Andrej Cupak

    (National Bank of Slovakia)

  • Jan Pokrivcak

    (Slovak University of Agriculture, Nitra)

  • Marian Rizov

    (Lincoln Business School, Lincoln, UK)

Abstract

We analyze demand for food away from home (FAFH) in Slovakia by means of a double-hurdle model using recent Slovak Household Budget Survey data covering the period 2006–2012. The estimated unconditional income elasticity of FAFH demand (1.37) demonstrates that away-from-home eating is still perceived as a luxury by Slovak households. An important feature of our applied theoretical framework is measurement of the effect of a wife's opportunity cost of time. Results indicate that households where the wife is employed have significantly higher expenditure on FAFH compared to households where the wife is unemployed or a housewife. Further FAFH market growth can be expected in Slovakia in the future, driven by rising GDP, increasing participation of women in the job market, demographic changes towards an increase in the proportion of single-person households, and adoption of more individualistic lifestyles.

Suggested Citation

  • Andrej Cupak & Jan Pokrivcak & Marian Rizov, 2016. "Demand for Food Away from Home in Slovakia," Czech Journal of Economics and Finance (Finance a uver), Charles University Prague, Faculty of Social Sciences, vol. 66(4), pages 354-369, August.
    • Handle: RePEc:fau:fauart:v:66:y:2016:i:4:p:354-369
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    References listed on IDEAS

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    More about this item

    Keywords

    demand; double-hurdle model; food away from home; Slovakia;
    All these keywords.

    JEL classification:

    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
    • C24 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Truncated and Censored Models; Switching Regression Models; Threshold Regression Models
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis

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