Weak Separability in Coffee Demand Systems

Daniel Sellen and Ellen Goddard

European Review of Agricultural Economics, 1997, vol. 24, issue 1, 133-44

Abstract: Linear versions of the Almost Ideal Demand System are estimated for US and German coffee imports with the intent of testing for homothetic and non-homothetic weak separability and calculating elasticities. Three different separable groupings are tested and separability restrictions are rejected. Elasticities indicate both elastic and inelastic demand for coffee by country of origin, and also that roasters consider such coffees as both substitutes and complements. Copyright 1997 by Oxford University Press.

Date: 1997
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