Flexible but Parsimonious Demand Designs: The Case of Gasoline

Mark Coppejans

No 00-07, Working Papers from Duke University, Department of Economics

Abstract: In this paper, we consider expectations of the form E[log(y)|x] = a'log(x) as a good starting point for a more general analysis. We show why this naturally leads to the following flexible functional form E[y|x] = f(h(x)), where all functions are estimated by cubic splines. One of the main goals is to show that this estimator is straightforward to implement. We demonstrate the usefulness of the methods given in the paper by estimating gasoline demand from the 1994 RTECS data set, and in doing so, uncover interesting relationships of income and age on expected gasoline use.

JEL-codes: C51 D12 Q41 (search for similar items in EconPapers)
Date: 2000
New Economics Papers: this item is included in nep-ene
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.econ.duke.edu/Papers/Abstracts00/abstract.00.07.html main text

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:duk:dukeec:00-07

Access Statistics for this paper

More papers in Working Papers from Duke University, Department of Economics Department of Economics Duke University 213 Social Sciences Building Box 90097 Durham, NC 27708-0097.
Bibliographic data for series maintained by Department of Economics Webmaster ().