The effect on consumption of household size and composition |
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Authors: | Hilde Bojer |
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Institution: | University of Oslo, Institute of Economics, Oslo, Norway |
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Abstract: | The paper is about effects of household composition on household demand. Demand functions where prices are multiplied by consumer unit numbers (Barten-functions) are discussed theoretically and empirically. The theoretical part shows how Barten-functions may be derived from a simple model of distribution and decision-making within the household, incorporating the possibility of joint consumption. Regression analysis of two Norwegian surveys of consumer expenditure is used to inaminate the predictive power of Barten-functions. Equivalent adult scales are computed by a method of approximation using the budget percentage of foodstuffs. |
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