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Article
Publication date: 4 July 2016

Faical Akaichi and Cesar Revoredo-Giha

The purpose of this paper is to assess Scottish consumers’ demand for animal welfare and organic pork. The paper also tried to answer the following questions: first, are…

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Abstract

Purpose

The purpose of this paper is to assess Scottish consumers’ demand for animal welfare and organic pork. The paper also tried to answer the following questions: first, are animal-friendly pork and organic-pork complements or substitutes (competing)? Second, what is the relationship between pork products with different animal welfare labels (i.e. “freedom food” pork vs “specially selected pork”)? Third, does the demand for animal-friendly and organic pork vary with the level of deprivation of the area where consumers are living?

Design/methodology/approach

The dataset used in the analysis is the Kantar Worldpanel dataset for Scotland, which contains weekly data of food and drink purchases for consumption at home, covering the period 2006-2011. The panel is representative of the Scottish population and covers about 3,694 households. The linear version of the almost ideal demand system was estimated. Then, the own- and the cross-price elasticities as well as the expenditure elasticities for the 22 food categories and products were computed.

Findings

The results indicate that when the price of animal-friendly pork increases, consumers decrease their consumption of this product and substitute it by organic pork or regular pork, especially in the case of fresh pork, bacon and sausages. It was found that products with different animal welfare accreditation are substitutes in the eyes of Scottish consumers and are, therefore, competing for the market share of animal-friendly foods. The results also show that the demand for animal-friendly pork is more elastic in the most deprived areas in Scotland.

Originality/value

To the best of the authors’ knowledge, this is the first study that estimates the demand for conventional, animal-friendly and organic pork using a scanner data in Scotland and controlling for the variation by area of deprivation.

Details

British Food Journal, vol. 118 no. 7
Type: Research Article
ISSN: 0007-070X

Keywords

Article
Publication date: 16 November 2012

Wei Chen, Mary A. Marchant and Andrew Muhammad

The purpose of this paper is to estimate China's demand for imported soybeans and soybean oil from both country‐of‐origin and product form perspectives.

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Abstract

Purpose

The purpose of this paper is to estimate China's demand for imported soybeans and soybean oil from both country‐of‐origin and product form perspectives.

Design/methodology/approach

A differential production approach is used to estimate China's demand for imported soybeans and soybean oil. The empirical demand estimates are then used to derive conditional and unconditional elasticities of demand for each exporting country with respect to changes in domestic and import prices, and the price of resources used in soybean meal and oil production.

Findings

Results indicate that both country‐of‐origin and product form competition exist in the Chinese market. Estimation results indicate that China's soybean meal prices significantly impacted its soybean and soybean oil imports. Seasonality is detected in China's soybean imports, but not in soybean oil imports.

Practical implications

The findings suggest that, in addition to country‐of‐origin competition, product form competition should be considered when analyzing China's soybean demand.

Originality/value

This paper contributes to a better understanding of China's soybean import market by integrating both country‐of‐origin competition and product form competition into a single demand framework.

Details

China Agricultural Economic Review, vol. 4 no. 4
Type: Research Article
ISSN: 1756-137X

Keywords

Article
Publication date: 23 May 2023

Lei Li, Junfei Bai and Qiubo Zhu

The purpose of this study is to assess the impact of rising food prices on food demand and nutrient intake among rural–urban migrants and whether such impact varies across income…

Abstract

Purpose

The purpose of this study is to assess the impact of rising food prices on food demand and nutrient intake among rural–urban migrants and whether such impact varies across income classes.

Design/methodology/approach

Using data from the China Health and Nutrition Survey (CHNS), this study adopts a quadratic almost ideal demand system (QUAIDS) for food demand elasticity and an indirect estimation method for nutrient elasticity to investigate the effects of rising food prices on food demand and nutrient intake among rural–urban migrants.

Findings

The estimated results indicate that an increase in the price of pork alone would lead to a larger reduction in most nutrients among rural–urban migrants than other single targeted food group, and a simultaneous rise in the price of all food groups would have a remarkably adverse effect on the nutritional status of rural–urban migrants in comparison to the nutritional effects of a rise in one targeted food group. In addition, the nutritional effects of food prices across income classes show that the nutritional status is particularly vulnerable to rising food prices among low-income rural–urban migrants.

Originality/value

This paper focuses on analyzing the impact of rising food prices on the nutritional status of rural–urban migrants, a topic that is very limited in the literature. This study provides a fresh look at the effect of volatile food prices on food demand and nutrient intake among rural–urban migrants. The results indicate that income growth would have a remarkable positive effect on nutrient intake for rural–urban migrants, especially for low-income rural–urban migrants. However, an increment in nutrients due to a growth in income would not be far from enough to cover the reduction in nutrients as a result of a simultaneous rise in price of all the studied food categories at the same rate.

Details

China Agricultural Economic Review, vol. 15 no. 3
Type: Research Article
ISSN: 1756-137X

Keywords

Article
Publication date: 1 December 2005

Mohamadou L. Fadiga, Sukant K. Misra and Octavio A. Ramirez

The purpose of this is study is to identify sources of demand growth for apparel in the US based on consumer demographic profiles, regions, and product characteristics.

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Abstract

Purpose

The purpose of this is study is to identify sources of demand growth for apparel in the US based on consumer demographic profiles, regions, and product characteristics.

Design/methodology/approach

A two‐step procedure was utilized to model, estimate, and analyze purchasing decision and consumer demand for nine apparel products (male shirts, shorts, jeans and slacks and female slacks, skirts, shorts, dresses and jeans). This study is based on a survey conducted by the American shoppers' panel, which collects consumption data of various garments, socioeconomic profiles, and product characteristics.

Findings

The results indicate that purchase decisions are determined by garments' own prices, age, female employment, gender, regions, and the presence of children. The study also shows evidence that the effect of product‐specific pricing strategies would be limited to the targeted products and the origin of the product has minimal effect on consumer expenditures on apparel.

Originality/value

This study is one of the few that have used disaggregated apparel products and detailed demographic factors, thus has clear marketing implications and can be useful to the apparel industry.

Details

Journal of Fashion Marketing and Management: An International Journal, vol. 9 no. 4
Type: Research Article
ISSN: 1361-2026

Keywords

Article
Publication date: 6 August 2020

Wenbo Zhu, Yongfu Chen, Zhihao Zheng, Jing Zhao, Guojing Li and Wei Si

China has experienced a fast economic growth and shown a significant rise in income inequality in the past decades. During the same period, fluid milk consumption in urban areas…

Abstract

Purpose

China has experienced a fast economic growth and shown a significant rise in income inequality in the past decades. During the same period, fluid milk consumption in urban areas has rapidly expanded. The objective of this paper is to analyze and simulate the influence of income distribution changes on fluid milk consumption of households in urban China.

Design/methodology/approach

This study applies an inverse hyperbolic sine (IHS) double-hurdle model to modeling at-home fluid milk consumption of households across different income strata based on a sample of 11,861 urban households in five provinces in China, and simulating the impact of changing income distribution, including five income growth patterns, on fluid milk consumption of total households as well as specific household groups.

Findings

The fluid milk consumption in urban China will continue to increase, with the unconditional income elasticity being 0.334 for the full sample and 0.347, 0.335 and 0.162 for the low-, middle-, and high-income groups, respectively. The simulation results show an evidence that, compared with distribution-neutral and disparity-enlarging income growth patterns, a rising income equality would lead to a more significant increase in fluid milk consumption. And the inequality-reducing income growth pattern has a larger impact on fluid milk consumption of households with seniors and no children, as well as households having no local urban household registration (hukou).

Practical implications

The government should strengthen the supply measures of fluid milk in urban areas, enlarge domestic dairy production, and diversify the sources of milk imports. It is also necessary to subsidize low-income families, especially households with seniors or households migrated from other areas without getting local urban hukou, which could simultaneously improve nutritional benefits and alleviate financial pressures.

Originality/value

A simulation considering the evolution of income distribution as well as different household groups is conducted. Widely distributed data with a large sample size and detailed demographic information are used. The problems of zero consumption and non-normal distribution are addressed by the IHS double-hurdle model.

Details

China Agricultural Economic Review, vol. 12 no. 4
Type: Research Article
ISSN: 1756-137X

Keywords

Article
Publication date: 2 December 2022

Christian H. Kuhlgatz, Jiaqi Huang and Gerrit Antonides

The purpose of this paper is to evaluate the effects of price and income changes on food and nutrient demand of rural households by including own-produced food and production-side…

Abstract

Purpose

The purpose of this paper is to evaluate the effects of price and income changes on food and nutrient demand of rural households by including own-produced food and production-side effects in the demand estimation to correct potential measurement bias in the income and price elasticities for rural households in underdeveloped areas. Simulation results of income and grain price changes on food and nutrition security are provided for economic nutrition security policy applications.

Design/methodology/approach

This study analyzes survey data of 1,555 households from underdeveloped rural areas of China to find out how price and income changes affect food and nutrition insecurity of rural households. The authors employ the quadratic almost ideal demand system (QUAIDS) in a two-stage budgeting framework, using quality adjusted prices that were retrieved with regressions of the difference between the unit value surveyed at household level and its village average on household characteristics. The bias correction is implemented by using an augmented IV (instrumental variable) method, in which each market price is instrumented with farm-specific variables. Important macro- and micronutrient elasticities are computed for (a) households with agriculture as main income and (b) other households (of which still many have agriculture as a side business). Finally, the authors use these elasticities to simulate how changes in income or grain prices affect the food and nutrition security in the studied areas.

Findings

In general, food income elasticities of agricultural households are at a higher level than those for other households, and so are the food price elasticities. Income changes also have a greater nutritional effect on agricultural households than on other households. Nutrient income elasticities ranged from 0.22 (energy) to 0.27 (Vitamin A) for agricultural households and from 0.19 (energy) to 0.23 (Vitamin A) for other households. Grain price increases have greater effect on nutritional status of non-agricultural households, while a grain price reduction is not clearly favoring the nutritional situation of a particular household group.

Originality/value

This demand study contributes to the literature by taking into account differences in consumption of own production between households and the potential endogeneity of prices resulting thereof. The authors also demonstrate that merely reporting nutrient elasticities might not be sufficient for policy recommendations, and simulations should be reported as a valuable addition.

Details

China Agricultural Economic Review, vol. 15 no. 1
Type: Research Article
ISSN: 1756-137X

Keywords

Article
Publication date: 11 May 2020

Asankha Pallegedara and Ajantha Sisira Kumara

Compared to other neighbouring South Asian countries, Sri Lanka performs well in terms of education outcomes. Education is provided by the government for free from primary school…

Abstract

Purpose

Compared to other neighbouring South Asian countries, Sri Lanka performs well in terms of education outcomes. Education is provided by the government for free from primary school level to the first-degree University level, yet households’ private education expenses are steadily increasing over time. Thus, this paper analyses trends and determinants of household private education expenditures using the country-wide micro-data from 1990 to 2013.

Design/methodology/approach

Using Household Income and Expenditure Survey (HIES) 1990/91, 2002 and 2012/13 data along with annual school census data, this paper examines the relationship between private education expenditure patterns and the observed changes of reported both demand-side and supply-side factors. In particular, the present paper analyses determinants of household private education expenditures within the two-part model econometric framework by taking into account location and time fixed-effects.

Findings

The results show that trend of spending privately for education is increasing over time with rising household income. Rural, Tamil and Islamic households and those headed by less-educated members are less likely to spend privately for education. The results also confirm that improved-supply-side factors can significantly lower the household burden arising from out-of-pocket education expenditure.

Research limitations/implications

Unavailability of panel data and missing data on several districts due to security concerns are limitations of the study.

Social implications

The trend of increasing private education expenses has implications on equity concerns of education in Sri Lanka, and it can undermine the purpose of free public education policy.

Originality/value

To our knowledge, this is the first study for Sri Lanka that examines patterns and determinants of private education expenditures using nationwide data for last two decades. This paper applies novel econometric techniques to account for various issues in household survey data analysis.

Peer review

The peer review history for this article is available at: https://publons.com/publon/10.1108/IJSE-07-2019-0445

Details

International Journal of Social Economics, vol. 47 no. 5
Type: Research Article
ISSN: 0306-8293

Keywords

Article
Publication date: 16 November 2012

James L. Seale, Junfei Bai, Thomas I. Wahl and Bryan T. Lohmar

The purpose of this paper is to analyze the income sensitivity of food consumption in Beijing, China, using an original household survey data set collected by the Chinese Academy…

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Abstract

Purpose

The purpose of this paper is to analyze the income sensitivity of food consumption in Beijing, China, using an original household survey data set collected by the Chinese Academy of Sciences.

Design/methodology/approach

An Engel curve model is fit to the household data of nine food categories and 35 food items, and both conditional and unconditional expenditure elasticities of demand are calculated and reported for the nine food groups and the 35 food items.

Findings

Working's model fits the data well, and the elasticity estimates are all reasonable in terms of economic theory, size and signs. The results indicate a relative large range in income sensitivity among the nine food groups and 35 food items in response to changes in household food expenditure levels.

Originality/value

The research analyzes unique and rich urban household survey data collected by the Chinese Academy of Sciences and is the most comprehensive analysis to date in terms of the number of food items studied for which expenditure elasticities are calculated. These elasticities may be used to study household food consumption patterns, to calculate caloric or nutrient elasticities, to study obesity in China, to study policy prescriptions in terms of taxes and subsidies on food, to infer welfare and affluence, and may be used as inputs into econometric models such as those used by the World Bank, IFPRI, and others.

Details

China Agricultural Economic Review, vol. 4 no. 4
Type: Research Article
ISSN: 1756-137X

Keywords

Article
Publication date: 3 September 2018

Wen Zheng, Senarath Dharmasena, Oral Capps Jr and Ramkumar Janakiraman

The purpose of this paper is to investigate the factors affecting consumer demand for and the effects on tax on sparkling and non-sparkling bottled water in the USA.

Abstract

Purpose

The purpose of this paper is to investigate the factors affecting consumer demand for and the effects on tax on sparkling and non-sparkling bottled water in the USA.

Design/methodology/approach

Using nationally representative data from 62,092 households and tobit econometric procedure, conditional and unconditional factors affecting the demand for sparkling and non-sparkling bottled water were estimated.

Findings

The own-price elasticity of demand for sparkling and non-sparkling bottled water is −0.664 and −0.229, respectively. Coffee, fruit drinks, whole milk and tea are substitutes for non-sparking bottled water. Non-sparking bottled water, coffee, fruit drinks and whole milk are substitutes for sparking bottled water. Household income, race, region and presence of children significantly affect the demand for bottled water. A 10 percent increase in price due to a tax on bottled water decreased plastic use by 50 grams per household per year. This is equivalent to saving 9.5m pounds of plastic annually.

Research limitations/implications

Data used in this analysis only captured at-home consumption of bottled water by US households. While tax on bottled water may reduce the consumption of bottled water, it may increase the consumption of competitive beverages such as carbonated soft drinks or fruit drinks. Although the use of plastic with regards to water bottles may go down as a result of the tax, the plastic consumption could go up with regards to consumers’ increased purchase of other beverages. This might contribute net increase plastic bottle consumption, undermining the effects of a bottled water tax.

Originality/value

To the best of the authors’ knowledge, this study is the first to look at demand and tax aspects with regards to disaggregated bottled water products.

Details

Journal of Agribusiness in Developing and Emerging Economies, vol. 8 no. 3
Type: Research Article
ISSN: 2044-0839

Keywords

Article
Publication date: 8 May 2018

Yongfu Chen, Wenbo Zhu and Ziyuan Chen

China is not only the biggest mutton consumer, but also the top mutton importer in the world. China’s urban households are becoming the key driving force behind a surge in mutton…

Abstract

Purpose

China is not only the biggest mutton consumer, but also the top mutton importer in the world. China’s urban households are becoming the key driving force behind a surge in mutton consumption. Therefore, the purpose of this paper is to investigate the determinants of mutton demand in urban China.

Design/methodology/approach

Based on a sample of 32,910 urban households across six provinces and autonomous regions, an inverse hyperbolic sine (IHS) double-hurdle model is estimated, by maximum likelihood estimation, to reveal the determinants of mutton consumption-at-home.

Findings

The empirical results indicate that, first, household income has a positive effect on mutton consumption, and higher income households have a higher income elasticity; second, wet weather increases probability, but reduces conditional level and unconditional level; finally, minority group households consume more mutton than Han group households.

Practical implications

It is necessary for policymakers to develop a long-term outlook in relation to the increase of China’s mutton appetite and to shift from a domestic perspective to a global one and develop diversified import strategies. Furthermore, policymakers require to make a practicable emergency preplan for tackling short-term agglomeration of demand for mutton, attributed to festivals, and religious events of a minority ethnic group.

Originality/value

This is a major work based on a large sample of 32,910 urban households conducted by the National Bureau of Statistics of China. This paper uses an IHS double-hurdle model to quantify the determinants of mutton consumption; it sheds light on the climatic, regional, and ethnic characteristics of mutton consumption in urban China.

Details

British Food Journal, vol. 120 no. 5
Type: Research Article
ISSN: 0007-070X

Keywords

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