An assessment of the current structure of food demand in urban China |
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Authors: | Brian W Gould Hector J Villarreal |
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Institution: | Department of Agricultural and Applied Economics, University of Wisconsin-Madison, 427 Lorch Street, Madison, WI 53706;ITESM, Campus Monterrey, Edificio DAF #230, Av. Eugenio Garza Sada #2501, Monterrey, N.L. Mexico 64849 |
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Abstract: | We evaluate the current structure of food demand in urban China by using household expenditure survey data from five provinces. Two complementary analyses are undertaken. First, an aggregate analysis based on a fractional logit model is used to examine how households allocate food expenditures across the food‐at‐home (FAH) and food‐away‐from‐home (FAFH) categories. This is followed by a disaggregated analysis of how households allocated their FAH expenditures across 12 commodity categories. A Quadratic Almost Ideal Demand System (QUAIDS) is used. We find evidence of significant food purchase substitution and complementarity. |
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Keywords: | D12 I31 O12 Q17 |
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