|
|||||
|
|
Testing for negativity in a demand system: A Bayesian approach |
|
| Authors: | Hikaru Hasegawa Hideo Kozumi Noriko Hashimoto |
| Affiliation: | (1) Faculty of Economics and Business Administration, Hokkaido University, Nishi 7, Kita 9, Kita-ku, Sapporo 060-0809, Japan (e-mail: hasegawa@econ.hokudai.ac.jp; kozumi@econ.hokudai.ac.jp), JP;(2) Faculty of Economics, Kansai University, 3-3-35 Yamata, Suita, Osaka 564–8680, Japan (e-mail: t902375@kansai-u.ac.jp), JP |
| Abstract: | The paper introduces Bayesian inference into a demand model. This allows us to test for the negativity condition of the substitution matrix which is difficult to handle directly in the traditional approach. To illustrate the Bayesian inference procedures, we estimate the Rotterdam model and test the demand properties using Japanese data. The empirical results show the importance of specifically considering negativity in demand analysis. First version received: September 1997/final version received: February 1998 |
| Keywords: | : Markov chain Monte Carlo (MCMC) conditional predictive ordinate (CPO) Bayes factor Rotterdam model |
| 本文献已被 SpringerLink 等数据库收录！ | |