An Error Corrected Almost Ideal Demand System for Major Cereals in Kenya

Jonathan Nzuma and Rakhal Sarker

No 6443, 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida from American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association)

Abstract: Despite significant progress in theory and empirical methods, the analysis of food consumption patterns in developing countries, particularly those in Sub Saharan Africa has received very limited attention. An attempt is made in this article to estimate an Error Corrected Almost Ideal Demand System for four major cereals consumed in Kenya employing annual data from 1963 to 2005. The model performs well both on theoretical and empirical grounds. All own-price elasticities are negative and statistically significant and all cereals are necessities both in the short-run and in the long-run in Kenya.

Keywords: Error Correction Model; AIDS; Cereal Consumption; Kenya; Demand and Price Analysis (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-afr
Date: 2008
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