Analysis of household consumption behaviour in Senegal in the face of price variations: an estimation of a Near Ideal Quadratic Demand System (QUAIDS) model

Analyse du comportement de consommation des ménages au Sénégal face aux variations de prix: une estimation d'un modèle de Système de Demande Quadratique Presque Idéal (QUAIDS)

Baye Elimane Gueye () and Omar Sene
Additional contact information
Baye Elimane Gueye: UADB - Université Alioune Diop de Bambey
Omar Sene: UADB - Université Alioune Diop de Bambey

Post-Print from HAL

Abstract: The implementation of efficient economic policies in a context of rising commodity prices requires a good understanding of household consumption behaviour. The main objective of this paper is to estimate price and income elasticities in Senegal from a QUAIDS (Quadratic Almost Ideal Demand System) demand system, using data from the Harmonised Survey of Household Living Conditions (EHCVM, 2018/2019). The estimated elasticities are re-used to simulate the impact of price increases for sensitive products such as rice, onions, oil, milk powder and electricity on household welfare. The results show that the products selected are superior goods, with the exception of fuel and onions, which are Giffen and normal goods respectively. Price and income elasticities vary according to place of residence, level of education of the head of household and income level. As for the simulations, the results show that higher prices increase the poverty rate. However, state intervention through direct consumption subsidies would reduce poverty levels but would benefit higher-income households more.

Keywords: élasticité-prix demande modèle QUAIDS consommation Sénégal price elasticity demand QUAIDS model consumption Senegal; élasticité-prix; demande; modèle QUAIDS; consommation; Sénégal price elasticity; demand; QUAIDS model; consumption; Senegal; Sénégal. (search for similar items in EconPapers)
Date: 2024
Note: View the original document on HAL open archive server: https://hal.science/hal-05080560v1
References: View references in EconPapers View complete reference list from CitEc
Citations:

Published in Revue Française d'Economie et de Gestion , 2024, Au volume 5 : Numéro 8 de la Revue Française d’Economie et de Gestion, ⟨10.5281/zenodo.13377401⟩

Downloads: (external link)
https://hal.science/hal-05080560v1/document (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-05080560

DOI: 10.5281/zenodo.13377401

Access Statistics for this paper

More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().