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Microeconometric Models of Infrequently Purchased Goods: An Application to Household Pork Consumption

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  • Su, Shew-Jiuan B
  • Yen, Steven T

Abstract

The double-hurdle and infrequency-of-purchase models are generalized with the inverse hyperbolic sine transformation in the dependent variable. The resulting specifications feature more flexible parameterization and error distributions than the untransformed models. Using the 1987-88 Nationwide Food Consumption Survey data on household pork consumption, a non-nested test suggests that the IHS double-hurdle model provides better characterization of the data-generating process than the IHS infrequency-of-purchase model but the elasticities derived from these models are similar. Own-price effects on the probability and level of consumption are negative and significant but the elasticities are small. Income and cross-price effects are not significant. Household age composition, education, gender of meal planner, and race are among the demographic variables that affect consumption.

Suggested Citation

  • Su, Shew-Jiuan B & Yen, Steven T, 1996. "Microeconometric Models of Infrequently Purchased Goods: An Application to Household Pork Consumption," Empirical Economics, Springer, vol. 21(4), pages 513-533.
    • Handle: RePEc:spr:empeco:v:21:y:1996:i:4:p:513-33
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    Cited by:

    1. Faruk Urak & Nihat Küçük & Abdulbaki Bilgiç & Steven T Yen, 2023. "Modeling censored tourism expenditures in Turkey with non-normal and heteroscedastic errors: An application of the inverse hyperbolic sine double-hurdle model," Tourism Economics, , vol. 29(3), pages 718-741, May.
    2. David Aristei & Luca Pieroni, 2008. "A double-hurdle approach to modelling tobacco consumption in Italy," Applied Economics, Taylor & Francis Journals, vol. 40(19), pages 2463-2476.
    3. Angulo, Ana Maria & Gil, Jose Maria & Gracia, Azucena, 2001. "The demand for alcoholic beverages in Spain," Agricultural Economics, Blackwell, vol. 26(1), pages 71-83, October.
    4. Cei, Leonardo & Stefani, Gianluca & Defrancesco, Edi, 2021. "How do local factors shape the regional adoption of geographical indications in Europe? Evidences from France, Italy and Spain," Food Policy, Elsevier, vol. 105(C).
    5. Kuuluvainen, Jari & Karppinen, Heimo & Hänninen, Harri & Uusivuori, Jussi, 2014. "Effects of gender and length of land tenure on timber supply in Finland," Journal of Forest Economics, Elsevier, vol. 20(4), pages 363-379.
    6. R. Mussa, 2014. "Extending the Oaxaca-Blinder Decomposition to the Independent Double Hurdle Model: With Application to Parental Spending on Education in Malawi," Studies in Economics and Econometrics, Taylor & Francis Journals, vol. 38(3), pages 39-54, December.
    7. Pan, Suwen & Jensen, Helen H., 2002. "Eating Out: An Important Source Of Food For The Poor And The Food Insecure," 2002 Annual meeting, July 28-31, Long Beach, CA 19805, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    8. Carol Newman & Maeve Henchion & Alan Matthews, 2003. "A double-hurdle model of Irish household expenditure on prepared meals," Applied Economics, Taylor & Francis Journals, vol. 35(9), pages 1053-1061.
    9. Balli Hatice Ozer & Kouhbor Mohammad Amin & Jean Louis Rosmy, 2017. "Towards Understanding Vegetables Consumption Behaviour in Iran: A Full Box-Cox Double-Hurdle Application," Review of Middle East Economics and Finance, De Gruyter, vol. 13(1), pages 1-12, April.
    10. Mishra, Ashok K. & Williams, Robert P. & Detre, Joshua D., 2009. "Internet Access and Internet Purchasing Patterns of Farm Households," Agricultural and Resource Economics Review, Cambridge University Press, vol. 38(2), pages 240-257, October.
    11. Liu, Haiyan & Wahl, Thomas I. & Seale, James L. & Bai, Junfei, 2015. "Household composition, income, and food-away-from-home expenditure in urban China," Food Policy, Elsevier, vol. 51(C), pages 97-103.
    12. Kuntner, Tobias & Teichert, Thorsten, 2017. "Price Promotions: Enablers or Obstacles for Brand-Led Innovation Adoption – A Double-Hurdle Approach," EconStor Preprints 157297, ZBW - Leibniz Information Centre for Economics.
    13. Vuong Quoc, Duy, 2012. "Determinants of household access to formal credit in the rural areas of the Mekong Delta, Vietnam," MPRA Paper 38202, University Library of Munich, Germany.
    14. James Rude & Yves Surry & Robert Kron, 2014. "A generalized double-hurdle model of Swedish gambling expenditures," Applied Economics, Taylor & Francis Journals, vol. 46(34), pages 4151-4163, December.
    15. Liu, Haiyan & Wahl, Thomas I. & Seale, James L., Jr. & Bai, Junfei, 2012. "Household Composition and Food Away From Home Expenditures in Urban China," 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington 131057, Agricultural and Applied Economics Association.

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