[Show abstract][Hide abstract] ABSTRACT: This paper employs a latent variable approach to isolate the effects of changing tastes on the share of total meat expenditure on different categories of meat products in Greece during the period 1965–1995. We find that changes in the relative expenditure on different categories of meat cannot be explained by changes in the relative prices of the different meat products and increased expenditure alone. For pork products in particular, the increase in the share of expenditure has been greater than would be expected as a result of the relative fall in their price. The increase can therefore be associated with changes in taste. This finding is of general interest to those conducting empirical research into consumer behaviour both in economies where there have been significant changes in patterns of food consumption, and where, as in the case of many less industrialised economies, rapid structural changes in food consumption patterns are still to come. It is also of importance to policy makers in assessing the effectiveness of advertising or promotional campaigns in influencing longer term changes in consumer preferences for different products.
Full-text · Article · Feb 2003 · Agricultural Economics
[Show abstract][Hide abstract] ABSTRACT: This paper presents estimates of demand elasticities in Bulgaria using the Almost Ideal Demand system while using interval priors for the parameters. Expenditure elasticities are found to be considerably higher than unity for food items. These results are interpreted as being due to a substantial divergence between consumption and expenditure on food items. It is concluded that under conditions of falling incomes, policies which focus exclusively on food provision may not be appropriate. In the event of a return to income growth, an initial increase in demand for selected food items could outstrip the potential to increase domestic supply, and lead to an increase in imports, or decrease in exports, of a number of agricultural products.
No preview · Article · Feb 1999 · Journal of Agricultural Economics