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Demand Responses (demand + response)

Distribution by Scientific Domains
Business, Economics, Finance and Accounting100%

Selected Abstracts

Best Nonparametric Bounds on Demand Responses

ECONOMETRICA, Issue 6 2008
Richard Blundell
This paper uses revealed preference inequalities to provide the tightest possible (best) nonparametric bounds on predicted consumer responses to price changes using consumer-level data over a finite set of relative price changes. These responses are allowed to vary nonparametrically across the income distribution. This is achieved by combining the theory of revealed preference with the semiparametric estimation of consumer expansion paths (Engel curves). We label these expansion path based bounds on demand responses as E-bounds. Deviations from revealed preference restrictions are measured by preference perturbations which are shown to usefully characterize taste change and to provide a stochastic environment within which violations of revealed preference inequalities can be assessed. [source]

Tourism demand response by residents of Latin American countries

INTERNATIONAL JOURNAL OF TOURISM RESEARCH, Issue 1 2009
Manuel Vanegas Sr
Abstract A general-to-specific methodology was used to build international tourism demand models by residents from Argentina, Brazil, Colombia and Venezuela to Aruba. We seek to evaluate demand parameters, especially elasticity values, which were disaggregated on a country-to-country basis. We also aim to learn more about the structure and important variables and investigate the process of adjustment. The study has provided new and compelling evidence that, in the short run, residents in developing countries respond rationally and substantially to economic stimulus. The short-run income elasticity ranges from the low of 1.52 for Venezuela to the high of 2.34 for Argentina. These results indicate that Aruba will benefit differently from income increases in these four Latin American countries. The coefficients of the price variable had the expected negative signs, inelastic in the short-run for all countries but significant at the 5% level for Venezuela only. Any deliberate effort to expand tourist arrivals will require a much larger decline in prices than would be the case in the presence of short-run elastic response. The adjustment elasticity, being less than one, suggests that a period of more than one year is required for Latin American residents to fully adjust their tourism decisions in response to demand shocks. This study would seem to provide some useful information about international tourism demand from developing to developing countries that could form a very good and solid basis for analyses and policy action. Copyright © 2008 John Wiley & Sons, Ltd. [source]

Best Nonparametric Bounds on Demand Responses

ECONOMETRICA, Issue 6 2008
Richard Blundell
This paper uses revealed preference inequalities to provide the tightest possible (best) nonparametric bounds on predicted consumer responses to price changes using consumer-level data over a finite set of relative price changes. These responses are allowed to vary nonparametrically across the income distribution. This is achieved by combining the theory of revealed preference with the semiparametric estimation of consumer expansion paths (Engel curves). We label these expansion path based bounds on demand responses as E-bounds. Deviations from revealed preference restrictions are measured by preference perturbations which are shown to usefully characterize taste change and to provide a stochastic environment within which violations of revealed preference inequalities can be assessed. [source]

Carbon Taxation, Fuel Substitution and Welfare in Australia

THE AUSTRALIAN ECONOMIC REVIEW, Issue 1 2000
John Creedy
This paper examines the potential role for fuel substitution in electricity production in reducing carbon dioxide emissions over a ten-year time horizon. This is achieved by adding fuel substitution to output changes resulting from demand responses arising from a tax on carbon dioxide emissions. A time profile of adjustments is developed. The tax required for Australia to meet a 20 per cent reduction in emissions from 1993 levels is calculated and effects on inequality and social welfare are examined. The paper also examines the potential effect of a subsidy towards the use of low-emission fuels, financed from the carbon tax. A subsidy produces an improvement in emissions abatement and a lower tax required to reach the emissions target. [source]

Empirical investigation of investment behaviour in Australia's pastoral region,

AUSTRALIAN JOURNAL OF AGRICULTURAL & RESOURCE ECONOMICS, Issue 1 2005
Frank W. Agbola
Optimal intertemporal investment behaviour of Australian pastoralists is modelled using panel data for the period 1979,1993. Results indicate that quasi-fixity of inputs of labour, capital, sheep numbers and cattle numbers is characteristic of production in the pastoral region. It takes about two years for labour, four years for capital and a little over two years for both sheep numbers and cattle numbers to adjust towards long-run optimal levels. Results also indicate that, after accounting for adjustment costs, own-price product supply and input demand responses are inelastic in both the short and long run. [source]