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Demand for Food Fats and Oils: The Role of Demographic Variables and Government Donations

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  • Brian W. Gould
  • Thomas L. Cox
  • Federico Perali

Abstract

A systems model of U.S. food fats and oils demand is estimated using quarterly time-series data for the period 1962–87. Demographic scaling is used to incorporate demographic variables and per capita government butter donations. In addition to price, income, and demographic demand elasticities, dietary fat intake elasticities are calculated for each of the demographic characteristics included in the study. All of the five own-price elasticities are statistically significant, as are fifteen of the twenty cross-price elasticities. Fourteen of the fifteen demographic elasticities are statistically significant.

Suggested Citation

  • Brian W. Gould & Thomas L. Cox & Federico Perali, 1991. "Demand for Food Fats and Oils: The Role of Demographic Variables and Government Donations," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 73(1), pages 212-221.
    • Handle: RePEc:oup:ajagec:v:73:y:1991:i:1:p:212-221.
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    Cited by:

    1. Shinn‐Shyr Wang & Kyle W. Stiegert & Tirtha P. Dhar, 2010. "Strategic Pricing Behavior under Asset Value Maximization," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 58(2), pages 151-170, June.
    2. Goodwin, Barry K. & Harper, Daniel C. & Schnepf, Randall D., 2003. "Short-Run Demand Relationships in the U.S. Fats and Oils Complex," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 35(1), pages 1-14, April.
    3. Federico Perali & Thomas Cox, 1996. "On the identification of the Barten-Gorman model: an example within the AIDS framework," Applied Economics Letters, Taylor & Francis Journals, vol. 3(9), pages 615-619.
    4. Gould, Brian W. & Yen, Steven T., 2002. "Food Demand In Mexico: A Quasi-Maximum Likelihood Approach," 2002 Annual meeting, July 28-31, Long Beach, CA 19667, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    5. Christopher J. O'Donnell & Alicia N. Rambaldi & Howard E. Doran, 2001. "Estimating economic relationships subject to firm- and time-varying equality and inequality constraints," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 16(6), pages 709-726.
    6. Jensen, Kim & Bevins, Scott, 1991. "The Demand for Butter, Margarine, and Oils: A Nonparametric Test for Evidence of Structural Change," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 23(2), pages 59-64, December.
    7. Balisacan, Arsenio M., 1994. "Agricultural Growth and Rural Incomes: Rural Performance Indicators and Consumption Patterns," Discussion Papers DP 1994-12, Philippine Institute for Development Studies.
    8. Gould, Brian W. & Dong, Diansheng, 2004. "Product Quality And The Demand For Food: The Case Of Urban China," 2004 Annual meeting, August 1-4, Denver, CO 20010, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    9. Schroeck, Rebecca, 2011. "Wie sensibel reagieren deutsche Verbraucher auf Preisänderungen bei Bio-Eiern? Eine Nachfrageanalyse mit Haushaltspanel-Daten," 51st Annual Conference, Halle, Germany, September 28-30, 2011 114492, German Association of Agricultural Economists (GEWISOLA).
    10. Davis, Christopher G. & Dong, Diansheng & Blayney, Donald P. & Owens, Ashley, 2010. "An Analysis of U.S. Household Dairy Demand," Technical Bulletins 184308, United States Department of Agriculture, Economic Research Service.
    11. Schröckl, R., 2012. "Wie sensibel reagieren deutsche Verbraucher auf Preisänderungen bei Bio- Eiern? Eine Nachfrageanalyse mit Haushaltspanel-Daten," Proceedings “Schriften der Gesellschaft für Wirtschafts- und Sozialwissenschaften des Landbaues e.V.”, German Association of Agricultural Economists (GEWISOLA), vol. 47, March.
    12. Huang, Kuo S., 1997. "How Economic Factors Influence the Nutrient Content of Diets," Technical Bulletins 156809, United States Department of Agriculture, Economic Research Service.
    13. Frank T. Denton & Dean C. Mountain, 2007. "Exploring the Effects of Aggregation Error in the Estimation of Consumer Demand Elasticities," Social and Economic Dimensions of an Aging Population Research Papers 226, McMaster University.
    14. Schroeck, Rebecca, 2011. "A Demand System Analysis of Organic and Conventional Fresh Milk in Germany Segmented by Consumer Groups," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 115995, European Association of Agricultural Economists.
    15. Gould, Brian W. & Sabates, Ricardo, 2001. "The Structure Of Food Demand In Urban China: A Demand System Approach," 2001 Annual meeting, August 5-8, Chicago, IL 20778, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    16. Lee, Jonq-Ying & Brown, Mark G. & Chung, Rebecca H. & Chiang, Frank F., 1998. "Incorporating Nutrients In Food Demand Analysis," 1998 Annual meeting, August 2-5, Salt Lake City, UT 20960, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    17. Chung, Rebecca H. & Lee, Jonq-Ying & Brown, Mark G., 1998. "Incorporating Nutrients in Food Demand Analysis," Research papers 52824, Florida Department of Citrus.
    18. Chung, Rebecca H. & Lee, Jonq-Ying & Brown, Mark G., 1998. "Demand for Nutrients: The Household Production Approach," Research papers 52825, Florida Department of Citrus.
    19. Denton, Frank T. & Mountain, Dean C., 2011. "Exploring the effects of aggregation error in the estimation of consumer demand elasticities," Economic Modelling, Elsevier, vol. 28(4), pages 1747-1755, July.
    20. Gould, Brian W. & Lee, Yoonjung & Dong, Diansheng & Villarreal, Hector J., 2002. "Household Size And Composition Impacts On Meat Demand In Mexico: A Censored Demand System Approach," 2002 Annual meeting, July 28-31, Long Beach, CA 19722, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    21. Heng, Yan & House, Lisa A., 2017. "Do U.S. Suppliers Benefit from South Korea-U.S. Free Trade Agreement? The Case of Orange Juice," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 258396, Agricultural and Applied Economics Association.
    22. Amna Ejaz & Haseeb Ali & Mubarik Ali & Umar Farooq, 2016. "Combating Nutrient Deficiency in Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 55(4), pages 921-943.
    23. Wang, Shinn-Shyr & Stiegert, Kyle W. & Dhar, Tirtha Pratim, 2006. "Strategic Pricing Behavior under Asset Value Maximization," Staff Papers 12612, University of Wisconsin-Madison, Department of Agricultural and Applied Economics.

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