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Chinese Domestic Textile Demand: Where They Buy Does Matter

Author

Listed:
  • MacDonald, Stephen
  • Pan, Suwen
  • Hudson, Darren
  • Tuan, Francis C.

Abstract

This paper examines the effects of distribution channels on demand for apparel, home textiles and other textiles (such as shoes) in urban China. The estimation procedure we use in this study is implemented in three steps. First, we estimate the price/unit value information; second, we estimate the parameters for the demand systems based on QAIDs model; third, we use the J-test and determine the best suitable model for the data set. The results indicate that households spend more on apparel than home textiles and other textile products such as shoes if they purchase textile products from small stores. It also indicates that they would spend more on home textiles and shoes if they purchase from chain stores and supermarkets.

Suggested Citation

  • MacDonald, Stephen & Pan, Suwen & Hudson, Darren & Tuan, Francis C., 2012. "Chinese Domestic Textile Demand: Where They Buy Does Matter," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126354, International Association of Agricultural Economists.
    • Handle: RePEc:ags:iaae12:126354
    DOI: 10.22004/ag.econ.126354
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    References listed on IDEAS

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    2. Deaton, Angus, 1988. "Quality, Quantity, and Spatial Variation of Price," American Economic Review, American Economic Association, vol. 78(3), pages 418-430, June.
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    5. Deaton, Angus S & Muellbauer, John, 1980. "An Almost Ideal Demand System," American Economic Review, American Economic Association, vol. 70(3), pages 312-326, June.
    6. James Banks & Richard Blundell & Arthur Lewbel, 1997. "Quadratic Engel Curves And Consumer Demand," The Review of Economics and Statistics, MIT Press, vol. 79(4), pages 527-539, November.
    7. Pollak, Robert A & Wales, Terence J, 1978. "Estimation of Complete Demand Systems from Household Budget Data: The Linear and Quadratic Expenditure Systems," American Economic Review, American Economic Association, vol. 68(3), pages 348-359, June.
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    Keywords

    Agribusiness; Agricultural and Food Policy; Consumer/Household Economics; Demand and Price Analysis;
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