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Analysis of household demand patterns using household data: Re-thinking the use of unit values or community prices

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  • Aimable Nsabimana

Abstract

Analysis of household food consumption patterns and welfare requires knowledge of household demand responses to changes in price and income. Estimation of the price and expenditure elasticities requires detailed data on household purchases and prices, which are often not available in many developing countries. To overcome constraints on the availability of price data, two approaches are mostly used: community prices and unit value (obtained by dividing household expenditure by quantity purchased). However, prices from these approaches are most likely measured with error.

Suggested Citation

  • Aimable Nsabimana, 2024. "Analysis of household demand patterns using household data: Re-thinking the use of unit values or community prices," WIDER Working Paper Series wp-2024-22, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:wp-2024-22
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    References listed on IDEAS

    as
    1. Deaton, Angus, 1988. "Quality, Quantity, and Spatial Variation of Price," American Economic Review, American Economic Association, vol. 78(3), pages 418-430, June.
    2. Angus Deaton, 1991. "Price Elasticities from Survey Data: Extensions and Indonesian Results," International Economic Association Series, in: Marc Nerlove (ed.), Issues in Contemporary Economics, chapter 10, pages 253-283, Palgrave Macmillan.
    3. Angus Deaton & Olivier Dupriez, 2011. "Spatial price differences within large countries," Working Papers 1321, Princeton University, Woodrow Wilson School of Public and International Affairs, Research Program in Development Studies..
    4. repec:pri:rpdevs:spatial_price_differences_in_large_countries-_10-jul_2011_complete is not listed on IDEAS
    5. Ray, Ranjan, 1983. "Measuring the costs of children : An alternative approach," Journal of Public Economics, Elsevier, vol. 22(1), pages 89-102, October.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Households; Elasticity; Income; Prices; Household data; Food price;
    All these keywords.

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