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Econometric estimation of food demand elasticities from household surveys in Argentina, Bolivia and Paraguay

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  • Lema, Daniel
  • Brescia, Víctor
  • Berges, Miriam
  • Casellas, Karina

Abstract

This paper presents an econometric estimation of food demand elasticities for Argentina, Bolivia and Paraguay using household survey data. The empirical approach consists in the estimation of a censored corrected LinQuad incomplete demand system of eleven equations using microdata from national household surveys. The limited dependent variable problem is accounted for using the Shonkwiler and Yen two step estimation procedure. Comparative results suggest distinct consumption behaviors in Argentina, Bolivia and Paraguay. Food demand is in general less elastic in Argentina, particularly for dairy products, beef, chicken wheat and sugar. Estimated magnitudes of income elasticities shows a more elastic response in Argentina for dairy products, beef, chicken and oil.

Suggested Citation

  • Lema, Daniel & Brescia, Víctor & Berges, Miriam & Casellas, Karina, 2007. "Econometric estimation of food demand elasticities from household surveys in Argentina, Bolivia and Paraguay," Nülan. Deposited Documents 1032, Universidad Nacional de Mar del Plata, Facultad de Ciencias Económicas y Sociales, Centro de Documentación.
    • Handle: RePEc:nmp:nuland:1032
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    References listed on IDEAS

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    1. Heien, Dale & Wessells, Cathy Roheim, 1990. "Demand Systems Estimation with Microdata: A Censored Regression Approach," Journal of Business & Economic Statistics, American Statistical Association, vol. 8(3), pages 365-371, July.
    2. Heckman, James, 2013. "Sample selection bias as a specification error," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 31(3), pages 129-137.
    3. Berges, Miriam & Casellas, Karina, 2002. "A demand system analysis of food for poor and non poor households. The case of Argentina," Nülan. Deposited Documents 1019, Universidad Nacional de Mar del Plata, Facultad de Ciencias Económicas y Sociales, Centro de Documentación.
    4. Fabiosa, Jacinto F. & Jensen, Helen H., 2003. "Usefulness of Incomplete Demand Model in Censored Demand System Estimation," 2003 Annual meeting, July 27-30, Montreal, Canada 21923, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    5. Berges, Miriam E. & Casellas, Karina S., 2002. "A Demand System Analysis of Food for Poor and Non Poor Households. The Case of Argentina," 2002 International Congress, August 28-31, 2002, Zaragoza, Spain 24815, European Association of Agricultural Economists.
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    Cited by:

    1. Echeverria, Lucia & Berges, Miriam, 2015. "Households' food consumption behaviour in Argentina: A quadratic demand system with demographic effects," 2015 Conference, August 9-14, 2015, Milan, Italy 211584, International Association of Agricultural Economists.
    2. Pace Guerrero, Ignacio & Berges, Miriam & Casellas, Karina, 2015. "An analysis of meat demand in Argentina using household survey data," Nülan. Deposited Documents 2316, Universidad Nacional de Mar del Plata, Facultad de Ciencias Económicas y Sociales, Centro de Documentación.
    3. Revoredo-Giha, Cesar & Zavala-Nacul, Hasibi & Toma, L., 2021. "Assessing an Increase of Orphan Crops in the Kenyan Diet," 2021 Conference, August 17-31, 2021, Virtual 315174, International Association of Agricultural Economists.

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