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AIDS and separability: a non sequitur AgEcon
Lee, Jonq-Ying; Brown, Mark G.; Seale, James L., Jr..
The almost ideal demand system (AIDS) is commonly used to study demand for agricultural commodities and groups of commodities. Increasingly, separability has been utilized in conjunction with the AIDS to estimate conditional demand systems as well as to improve upon precision of parameter estimates. The paper shows that separability conditions are inconsistent with use of the AIDS and that tests of separability with the AIDS are problematic.
Tipo: Report Palavras-chave: AIDS; Separability; Demand and Price Analysis.
Ano: 1992 URL: http://purl.umn.edu/52879
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Testing for Separability in Household Models with Heterogeneous Behavior: A Mixture Model Approach AgEcon
Vakis, Renos; Sadoulet, Elisabeth; de Janvry, Alain; Cafiero, Carlo.
Knowing whether a household behaves according to separability or non-separability is needed for the correct modeling of production decisions. We propose a superior test to those found in the literature on separability by using a mixture distribution approach to estimate the probability that a farm household behaves according to non-separability, and test that the determinants of consumption affect production decisions for households categorized as non-separable. With non-separability attributed to labor market constraints, the switcher equation shows that Peruvian farm households that are...
Tipo: Working or Discussion Paper Palavras-chave: Labor; Separability; Mixture distributions; Peru; Consumer/Household Economics; Labor and Human Capital; J43; C16; Q12.
Ano: 2004 URL: http://purl.umn.edu/25016
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Credit Constraint and Non-separable Behavior of Rural Households — Evidence from China AgEcon
Zhao, Jianmei; Zhang, Jun.
This article addresses the separability issue in the context of Chinese rural households. Deviating from previous research, our test on separability is embedded in the capital market imperfections and from the perspective of farm living consumption and their production inputs. Our theoretical framework incorporates the credit constraint and predicts both separability and non-separability behavior from rural households. Empirical estimation presents the evidence of non-separability behavior for credit constrained farm families, while independent decisions on farm living consumption and...
Tipo: Presentation Palavras-chave: Credit constraint; Non-separable behavior; Switching regression; Agricultural Finance; Consumer/Household Economics; Q12; Q14; O18.
Ano: 2012 URL: http://purl.umn.edu/123950
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THE IMPACT OF NEGATIVITY ON SEPARABILITY TESTING AgEcon
Eales, James S.; Henderson, Jason R..
While performing separability tests, studies rarely checked negativity to ensure the appropriate curvature of the expenditure function. The effect of imposing negativity on the results of separability tests is examined. Findings indicate that imposing negativity can affect separability tests in demand systems that do not spontaneously satisfy the curvature restriction.
Tipo: Conference Paper or Presentation Palavras-chave: Demand and Price Analysis; Research Methods/ Statistical Methods.
Ano: 2000 URL: http://purl.umn.edu/21817
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生鮮肉の選好構造に関するノンパラメトリック分析 OAK
澤田, 学; Sawada, Manabu.
Palavras-chave: 生鮮肉需要; 分離可能性; 2段階支出配分; 強分離可能性; ノンパラメトリック・テスト; Demand for fresh meat; Separability; Two-stage budgeting; Strong separability; Nonparametric test.
Ano: 1990 URL: http://ir.obihiro.ac.jp/dspace/handle/10322/1575
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TESTING AGGREGATION WITHOUT SEPARABILITY IN MEAT DEMAND: AN INVESTIGATION OF THE GENERALIZED COMPOSITE COMMODITY THEOREM AgEcon
Davis, George C..
In the estimation of aggregate meat demand systems, weak separability is often a maintained assumption. However, only a few studies have tested and failed to reject this assumption. Recently, Lewbel (1996) developed a generalized composite commodity theorem (GCCT) that is less restrictive than weak separability. In this study, a data set in which the weak separability conditions for aggregation have been rejected is reconsidered to determine if aggregation can be based on the GCCT. Some subtleties of Lewbel's testing procedure that are not discussed by Lewbel are considered, and the fundamental problem of formulating aggregates prior to conducting...
Tipo: Conference Paper or Presentation Palavras-chave: Aggregation; Demand; Weak separability; Generalized composite commodity theorem.; Demand and Price Analysis; Livestock Production/Industries.
Ano: 1998 URL: http://purl.umn.edu/20895
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WEAK SEPARABILITY AND A TEST FOR THE SPECIFICATION OF INCOME IN DEMAND MODELS WITH AN APPLICATION TO THE DEMAND FOR MEAT IN AUSTRALIA AgEcon
Alston, Julian M.; Chalfant, James A..
Most studies of the demand for meat in Australia have used some measure of total income or expenditure, but two recent studies have assumed weak separability of a meat group and used expenditure on the meat group instead. These specification differences are of interest to the extent that they affect the economic interpretation, goodness-of-fit, elasticity estimates, predictive performance or hypothesis tests in empirical demand equations. In this paper, non-nested hypothesis testing procedures are used to test the alternative specifications of the income variable and the hypothesis of separability. The results favour the use of the expenditure variable implied by
Tipo: Journal Article Palavras-chave: Demand and Price Analysis.
Ano: 1987 URL: http://purl.umn.edu/22578
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A CLASS OF SEPARABILITY FLEXIBLE FUNCTIONAL FORMS AgEcon
Driscoll, Paul J.; McGuirk, Anya M..
Quadratic flexible forms, such as the translog and generalized Leontief, are separability inflexible. That is, separability restrictions render them inflexible with regard to separable structures. A class functional forms is proposed that is flexible with regard to general production structures and remains flexible regarding weakly separable structures when separability restrictions are imposed, thus permitting tests of the separability hypothesis. Additionally, the restricted forms are parsimonious; that is they contain the minimum number of parameters with which flexibility can be achieved.
Tipo: Journal Article Palavras-chave: Research Methods/ Statistical Methods.
Ano: 1992 URL: http://purl.umn.edu/30947
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Danish organic food demand - Separability and Substitution Patterns Organic Eprints
Hansen, Lars Gårn.
Most studies of organic food demand are based on questionairs focussing on buying motives. Only a handful of studies estimate organic food demand and these all focus on food submarkets and must assume separability of the organic/non-oragnic nest of analysed food from other food submarkets. The soundness of this separability assumption may nevertheless be questioned since general attributes such as animal welfare and environmental effects are cited as buying motives for organic variants irrespective of food type in most surveys. The assumption of separabilety of nests of organic/non-oragnic variants of foods has, however, not been tested empirically. In this paper we exploit unique Danish...
Tipo: Conference paper, poster, etc. Palavras-chave: "Organics" in general.
Ano: 2003 URL: http://orgprints.org/1819/1/Danish_oganic_food_demand_Separability_and_substitution_patterns.pdf
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TESTING FOR INPUT AND OUTPUT SEPARABILITY IN NEBRASKA AGRICULTURE SECTOR AgEcon
Shaik, Saleem; Helmers, Glenn A..
The existence of Weak Separability aggregates of inputs and outputs is tested using a Translog production and input requirement function for the Nebraska Agricultural sector for 1936-1994. A separability test was performed only after testing time series properties by comparing the null hypothesis of stationarity against the alternative of unit roots.
Tipo: Conference Paper or Presentation Palavras-chave: Research Methods/ Statistical Methods.
Ano: 1998 URL: http://purl.umn.edu/20863
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QUASI SEPARABILITY: A DIFFERENTIAL DEMAND SYSTEM APPROACH AgEcon
Brown, Mark G.; Lee, Jonq-Ying.
A differential demand system for quasi separability is developed, following the approach used by Theil et al. in developing the Working-PI time series model. The Slutsky coefficients vary with commodity budget shares and intergroup substitution depends on group compensated price effects.
Tipo: Report Palavras-chave: Quasi separability; Differential demand system; Demand and Price Analysis.
Ano: 1990 URL: http://purl.umn.edu/52709
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TESTING SEPARABILITY OF JAPANESE DEMAND FOR MEAT AND FISH WITHIN DIFFERENTIAL DEMAND SYSTEMS AgEcon
Eales, James S.; Roheim, Cathy A..
The separability of meat products from fish products is investigated to gain a better understanding of Japanese consumer choices in protein demand. Rather than view fish as a single homogeneous commodity, fish and seafood are categorized into several groups of products. Separability is investigated using a demand system approach in which a generalized system of demand equations is specified and used, first to identify if any of the alternative demand structures nested within the general system are appropriate for these data, and then, conditional on those results, to test separability of meats from fish products following Moschini, Moro, and Green. Results...
Tipo: Journal Article Palavras-chave: Demand and Price Analysis.
Ano: 1999 URL: http://purl.umn.edu/30873
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SEPARABILIDADE DE FATORES DE PRODUÇÃO NA ESTIMAÇÃO DE FUNÇÕES TRANSLOG DE CUSTO AgEcon
Neto, Armando Chinelatto; Teixeira, Erly Cardoso.
The objective of this paper is to evaluate the aggregation of production factors in a variable called Inputs in coffee production in Brazil. A translog cost function and a separability test are used, based on estimates of the Allen-Uzawa partial elasticity of substitution. The results demonstrate the possibilities of input separability analyses. Input substitutability relations and other effects, such as exchange rate devaluation, on each production factor, can be examined.
Tipo: Journal Article Palavras-chave: Translog cost function; Inputs aggregation; Separability.; Agribusiness; Agricultural Finance; Industrial Organization.
Ano: 2009 URL: http://purl.umn.edu/90430
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The Almost Ideal Demand System Approximation and Separability AgEcon
Brown, Mark G.; Lee, Jonq-Ying.
The paper focuses on separability in the almost ideal demand system (AIDS) in time series analysis. The AIDS approximation based on Stone's price index is specified in terms of the Rotterdam model and block additivity is imposed for illustrative purposes. A generalization to other types of separability is then considered. The model can be viewed as an extension to Theil et al.'s Working-PI time series model. In both the Theil et al. model and the AIDS model examined here, the marginal propensity to spend on a good is allowed to depend on the good's budget share. In the model in this paper, the Slutsky coefficients are further allowed to depend on the budget shares. The model provides...
Tipo: Report Palavras-chave: Almost ideal demand system; Separability; Rotterdam model; Demand and Price Analysis.
Ano: 1990 URL: http://purl.umn.edu/52711
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An Economic Analysis of Product Differentiation under Latent Separability AgEcon
Dhar, Tirtha Pratim; Chavas, Jean-Paul; Cotterill, Ronald W..
This paper develops an analysis of markets for differentiated products. It relies on the concept of latent separability for consumer preferences. As proposed by Blundell and Robin, latent separability assumes that purchased products are allocated in the production of latent intermediate utility-yielding goods. Product differentiation can arise when each product makes a different contribution to the production of the latent goods. Latent separability is particularly attractive in the investigation of markets for branded products where the number of brands is large. It allows focusing on the demand for a smaller number of latent goods. Our approach is based...
Tipo: Conference Paper or Presentation Palavras-chave: Agribusiness.
Ano: 2003 URL: http://purl.umn.edu/21892
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Organic Food Demand– evidence from a Danish micro panel Organic Eprints
Hansen, Lars Gårn.
Only a handful of studies have estimated organic food demand. They all focus on specific food submarkets assuming separability from other food consumption. However, consumers typically associate attributes such as e.g. healthiness and environment friendliness with organic variants of most types of food. If such general organic attributes are important for consumer behaviour then separability may not hold. In this paper we utilize a unique Danish micro panel where all food demand is registered on a disaggregated level with an organic/non-organic indicator to estimate a general food demand system with organic variants. We clearly reject the usual
Tipo: Journal paper Palavras-chave: "Organics" in general.
Ano: 2004 URL: http://orgprints.org/4755/1/4755.rtf
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Introducing Asymmetric Separability in the FAST Multistage Demand System AgEcon
Bergtold, Jason S.; Peterson, Everett B..
This paper determines the set of parametric restrictions required to maintain flexibility under asymmetric weak separability for the flexible and separable translog (FAST) multistage demand system. Because there is not a unique set of parametric restrictions that ensures separability and the values of the unconditional price and expenditure elasticities depend on the parametric restrictions imposed, the appropriateness of a chosen set of parametric restrictions should be tested empirically. An empirical example that illustrates how the choice of parametric restrictions affects the estimation results and the functional form of the price and expenditure elasticities is provided.
Tipo: Conference Paper or Presentation Palavras-chave: Research Methods/ Statistical Methods.
Ano: 2005 URL: http://purl.umn.edu/19497
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A Flexible Multistage Demand System Based on Indirect Separability AgEcon
Moschini, GianCarlo.
The notion of indirect separability is exploited to derive a new multistage demand system. The model allows a consistent parameterization of demand relations at various budgeting stages and it fulfills the requirement of flexibility while satisfying separability globally. Two propositions are derived to characterize flexible and separable functional forms, which lead to the specification of a flexible and separable translog (FAST) demand system. The model is particularly attractive for modeling large complete demand systems, and is illustrated with an application to Canadian food demand.
Tipo: Working or Discussion Paper Palavras-chave: Research Methods/ Statistical Methods; D11; D12; C51.
Ano: 2000 URL: http://purl.umn.edu/18514
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AGGREGATION WITHOUT SEPARABILITY: TESTS OF U.S. AND MEXICAN AGRICULTURAL PRODUCTION DATA AgEcon
Lin, Ni; Davis, George C.; Shumway, C. Richard.
The generalized composite commodity theorem (Lewbel 1996) is used to test for consistent aggregation of U.S. and Mexican agricultural production data in each of the categories for which earlier tests rejected homothetic separability. All U.S. agricultural outputs can be justifiably aggregated into as few as four categories. All Mexican agricultural outputs can be aggregated into as few as five categories. The aggregation of all outputs into a single output cannot be supported in either country by sufficient conditions provided by the generalized composite commodity theorem and/or a homothetically separable technology.
Tipo: Conference Paper or Presentation Palavras-chave: Aggregation; Separability; Generalized composite commodity theorem; Demand and Price Analysis.
Ano: 1998 URL: http://purl.umn.edu/20927
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Testing Separability for Common Wheat Qualities in French Import Demand Market Using Aids and Rotterdam Demand Models AgEcon
Njonou, Rabelais Yankam; Frahan, Bruno Henry de; Surry, Yves R..
This study has used a corrected likelihood ratio, with AIDS and Rotterdam demand models, to test separability in three separable (A, B, C) wheat import demand structures on the French common wheat market. It appears from the study that the three separable Rotterdam structures are accepted by the test, while only two of them (B and C) are accepted in the case of AIDS at 5% level of significance. Meanwhile, model B seems to be more indicated in demand analysis with AIDS since it is the only one accepted at 15% level of significance. The results obtained demonstrate not only the necessity to test separability in demand structures, but also the necessity to know how the allocation models can...
Tipo: Conference Paper or Presentation Palavras-chave: Separability; Import demand; Rotterdam and AIDS demand models; Wheat qualities; Demand and Price Analysis.
Ano: 2002 URL: http://purl.umn.edu/24921
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