The Econometrics of Demand Systems

This book contains some of the results from the research project "Demand for Food in the Nordic Countries", which was initiated in 1988 by Professor Olof Bolin of the Agricultural University in Ultuna, Sweden and by Professor Karl Iohan Weckman, of the University of Helsinki, Finland. A pilot study was carried out by Bengt Assarsson, which in 1989 led to a successful application for a research grant from the NKJ (The Nordic Contact Body for Agricultural Research) through the national research councils for agricultural research in Denmark, Finland, Norway and Sweden. We are very grateful to Olof Bolin and Karl Iohan Weckman, without whom this project would not have come about, and to the national research councils in the Nordic countries for the generous financial support we have received for this project. We have received comments and suggestions from many colleagues, and this has improved our work substantially. At the start of the project a reference group was formed, consisting of Professor Olof Bolin, Professor Anders Klevmarken, Agr. lie. Gert Aage Nielsen, Professor Karl Iohan Weckman and Cando oecon. Per Halvor Vale. Gert Aage Nielsen left the group early in the project for a position in Landbanken, and was replaced by Professor Lars Otto, while Per Halvor Vale soon joined the research staff. The reference group has given us useful suggestions and encouraged us in our work. Weare very grateful to them.

I: A Model for Food Consumption in the Nordic Countries. - 1 Introduction. - 2 The Consumption of Food in The Nordic Countries. - 3 Consumer Demand Theory. - 4 The Specification and Estimation of Demand Systems. - 5 A Common Dynamic AIDS Model for The Nordic Countries. - II: Special Studies. - 6 Extensions to the Common Model. - 7 The Almost Ideal Demand System in Error Correction Form. - 8 Projections of Future Consumption in Finland. - 9 Household and Aggregate Time-Series Data. - 10 The Importance of Socioeconomic Variables. - 11 Testing Adding Up in the Common Model. - III: Conclusions. - 12 Conclusions. - Appendix 1: Publications and Working Papers. - Appendix 2: Data Appendix. - Author Index.