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Estimating Short and Long Run Income Elasticities of Foods and Nutrients for Rural South India

In: Econometrics, Statistics And Computational Approaches In Food And Health Sciences

Author

Listed:
  • ALOK BHARGAVA

    (University of Houston, USA)

Abstract
This paper estimates expenditure–income elasticities of six categories of foods using the Institute for Crops Research in Semi-Arid Tropics panel data on households from rural south India. The results underscore the importance of distinguishing between the short and long run effects particularly for groups like milk and meat. The demand for intake of nutrients is next analysed using two time observations on individuals under three formulations. A simple dynamic demand system is specified for five nutrient groups which is then extended to incorporate the differences in quality of foods consumed by expressing the intake of nutrients as ratios to energy intake by the individuals. Lastly, an interdependent formulation is estimated under special assumptions on the pattern of correlation between the individual effects and the remaining nutrients. The limited length of the panel data raises some issues of identification in the third case that are also resolved. Overall, these data provide support for the view that increases in household incomes will in turn improve the intakes of nutrients.

Suggested Citation

  • Alok Bhargava, 2006. "Estimating Short and Long Run Income Elasticities of Foods and Nutrients for Rural South India," World Scientific Book Chapters, in: Econometrics, Statistics And Computational Approaches In Food And Health Sciences, chapter 5, pages 81-98, World Scientific Publishing Co. Pte. Ltd..
    • Handle: RePEc:wsi:wschap:9789812773319_0005
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    Cited by:

    1. Alok Bhargava, 2006. "Modelling the Health of Filipino Children," World Scientific Book Chapters, in: Econometrics, Statistics And Computational Approaches In Food And Health Sciences, chapter 11, pages 153-168, World Scientific Publishing Co. Pte. Ltd..
    2. Jumrani, Jaya, 2023. "How responsive are nutrients in India? Some recent evidence," Food Policy, Elsevier, vol. 114(C).
    3. San Ahmed, Arsalan & Holloway, Garth John, 2017. "Calories, conflict and correlates: Redistributive food security in post-conflict Iraq," Food Policy, Elsevier, vol. 68(C), pages 89-99.
    4. Tankari, Mahamadou R., 2014. "L’élasticité calorie-revenu est-elle faible au Niger ?," Revue d'Etudes en Agriculture et Environnement, Editions NecPlus, vol. 95(04), pages 473-491, December.
    5. Alok Bhargava & Dean T. Jamison & Lawrence J. Lau & Christopher J. L. Murray, 2006. "Modeling the effects of health on economic growth," World Scientific Book Chapters, in: Econometrics, Statistics And Computational Approaches In Food And Health Sciences, chapter 20, pages 269-286, World Scientific Publishing Co. Pte. Ltd..
    6. Ulimwengu, John M. & Roberts, Cleo & Randriamamonjy, Josee, 2012. "Resource-Rich Yet Malnourished: Analysis of the demand for food nutrients in the Democratic Republic of Congo," IFPRI discussion papers 1154, International Food Policy Research Institute (IFPRI).
    7. Mahal, Ajay & Karan, Anup K., 2008. "Adequacy of dietary intakes and poverty in India: Trends in the 1990s," Economics & Human Biology, Elsevier, vol. 6(1), pages 57-74, March.
    8. Ajay Mahal & Lainie Sutton, 2014. "Economic prosperity and non-communicable disease: understanding the linkages," Chapters, in: Raghbendra Jha & Raghav Gaiha & Anil B. Deolalikar (ed.), Handbook on Food, chapter 12, pages 278-324, Edward Elgar Publishing.
    9. Meng, Xin & Gong, Xiaodong & Wang, Youjuan, 2004. "Impact of Income Growth and Economic Reform on Nutrition Intake in Urban China: 1986-2000," IZA Discussion Papers 1448, Institute of Labor Economics (IZA).
    10. Bhargava, Alok & Fox-Kean, Melanie, 2003. "The effects of maternal education versus cognitive test scores on child nutrition in Kenya," Economics & Human Biology, Elsevier, vol. 1(3), pages 309-319, December.
    11. Rajeev Goel & Michael Nelson, 2012. "Cigarette demand and effectiveness of U.S. smoking control policies: state-level evidence for more than half a century," Empirical Economics, Springer, vol. 42(3), pages 1079-1095, June.
    12. Bhargava, Alok, 1997. "Nutritional status and the allocation of time in Rwandese households," Journal of Econometrics, Elsevier, vol. 77(1), pages 277-295, March.
    13. Sudhir Anand & Martin Ravallion, 1993. "Human Development in Poor Countries: On the Role of Private Incomes and Public Services," Journal of Economic Perspectives, American Economic Association, vol. 7(1), pages 133-150, Winter.
    14. Dalia Fadly & Francisco Fontes & Miet Maertens, 2023. "Fuel for food: Access to clean cooking fuel and food security in India," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 15(2), pages 301-321, April.
    15. Larry L. Howard & Denise L. Stanley, 2017. "Remittances channels and the physical growth of Honduran children," International Review of Applied Economics, Taylor & Francis Journals, vol. 31(3), pages 376-397, May.
    16. Salois, Matthew & Tiffin, Richard & Balcombe, Kelvin, 2010. "Calorie and Nutrient Consumption as a Function of Income: A Cross-Country Analysis," MPRA Paper 24726, University Library of Munich, Germany.
    17. Nilanjana Roy, 2001. "A semiparametric analysis of calorie response to income change across income groups and gender," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 10(1), pages 93-109.
    18. Xin Meng & Xiaodong Gong & Youjuan Wang, 2009. "Impact of Income Growth and Economic Reform on Nutrition Availability in Urban China: 1986-2000," Economic Development and Cultural Change, University of Chicago Press, vol. 57(2), pages 261-295, January.

    More about this item

    Keywords

    Econometrics; Nutrition; Health; Child Development; Psychology; Behavioral Nutrition; Demography; Anthropology; Economic Development; Agricultural Economics; Environmental Sciences; Epidemiology; Nonlinear Optimization;
    All these keywords.

    JEL classification:

    • C40 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - General
    • C10 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - General
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy; Animal Welfare Policy
    • Z18 - Other Special Topics - - Cultural Economics - - - Public Policy

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