U.S. demand for organic and conventional vegetables: a Bayesian censored system approach

Panagiotis Kasteridis and Steven Yen

Australian Journal of Agricultural and Resource Economics, 2012, vol. 56, issue 3, 21

Abstract: Demand for organic and conventional vegetables is investigated using data from A.C. Nielsen’s 2006 Homescan panel. We use a Bayesian Markov chain Monte Carlo technique, along with data augmentation, to estimate a large linear approximate Almost Ideal Demand System with censored dependent variables. Demands are price elastic, and expenditure elasticities are very high for organic vegetables, whilst demands for conventional vegetables are primarily inelastic. We find a mix of gross substitution and complementarity among the vegetable products, but net substitution is the dominant pattern. Socio-demographic characteristics also play important roles in demands. These findings can inform deliberations about marketing campaigns, nutrition education and policy interventions.

Keywords: Agribusiness; Agricultural and Food Policy; Crop Production/Industries (search for similar items in EconPapers)
Date: 2012
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
https://ageconsearch.umn.edu/record/211679/files/j.1467-8489.2012.00589.x.pdf (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:ags:aareaj:211679

DOI: 10.22004/ag.econ.211679

Access Statistics for this article

More articles in Australian Journal of Agricultural and Resource Economics from Australian Agricultural and Resource Economics Society Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().