Substitution in Consumer Demand for Coffee Product Categories in Japan

Michael Yohannes, Toshinobu Matsuda and Naoko Sato

Journal of Agricultural Science, 2016, vol. 8, issue 4, 50

Abstract: This paper estimates substitution in consumer demand for coffee product categories in Japan using the linear approximate quadratic almost ideal demand system model (LA/QUAIDS). Three expenditure shares and demand equations for coffee beans and powder (beans/powder), canned and bottled coffee (canned/bottled) and coffee drunk at coffee shops (coffee shops) are estimated for two or more person households in forty-nine cities for the period January 2000 through February 2015. The expenditure elasticity estimates indicate that coffee shops are luxury goods while beans/powder and canned/bottled coffee are necessities in the Japanese household. The demographic effects show that persons over the age of 65 and people who earn more consume coffee at coffee shops. Moreover, seasonal effects show demand for canned and bottled coffee as mostly positive while it is mostly negative for coffee drunk at coffee shops in most of the months. The findings of this study indicate that coffee product categories in the Japanese market are substitutes for one another, which is consistent with the reality of coffee consumption in Japan.

Date: 2016
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://ccsenet.org/journal/index.php/jas/article/download/54923/31039 (application/pdf)
https://ccsenet.org/journal/index.php/jas/article/view/54923 (text/html)

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:ibn:jasjnl:v:8:y:2016:i:4:p:50

Access Statistics for this article

More articles in Journal of Agricultural Science from Canadian Center of Science and Education Contact information at EDIRC.
Bibliographic data for series maintained by Canadian Center of Science and Education ().