Two-stage Budgeting as an Economic Decision-making Process for Spanish Consumers

José Alberto Molina

Managerial and Decision Economics, 1997, vol. 18, issue 1, 27-31

Abstract: Two-stage budgeting as an economic decision-making process for consumers is illustrated by its application to new data. After showing that the Spanish observed behaviour is consistent with utility maximization, we estimate, for each stage, the elasticities of a dynamic AIDS model, which allow us to explain the economic decisions of consumers. The main findings show that all goods are normal and display decreasing demands, as theory predicts. In particular, transport, in the first stage, and the purchase of personal vehicles, in the second, show the highest expenditure effects. Moreover, transport and public transport display the highest Marshallian own-price elasticities. © 1997 John Wiley & Sons, Ltd.

Date: 1997
References: Add references at CitEc
Citations: View citations in EconPapers (31)

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

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:wly:mgtdec:v:18:y:1997:i:1:p:27-31

DOI: 10.1002/(SICI)1099-1468(199702)18:1<27::AID-MDE801>3.0.CO;2-F

Access Statistics for this article

Managerial and Decision Economics is currently edited by Antony Dnes

More articles in Managerial and Decision Economics from John Wiley & Sons, Ltd.
Bibliographic data for series maintained by Wiley Content Delivery ().