A System-Wide Analysis of International Consumption Patterns [Hardcover]

The modern system-wide approach to applied demand analysis emphasizes a unity between theory and applications. Its fIrm foundations in economic theory make it one of the most impressive areas of applied econometrics. This book presents a large number of applications of recent innovations in the area. The database used consist of about 18 annual observations for 10 commodities in 18 OECO countries (more than 3,100 data points). Such a large body of data should provide convincing evidence, one way or the other, about the validity of consumption theory. A PREVIEW OF THE BOOK The overall importance of the analysis presented in the book can be seen from the following table which shows the signifIcant contribution of the OECO to the world economy. As can be seen, the 24 member countries account for about 50 percent of world GOP in 1975. In this book we present an extensive analysis of the consumption patterns of the OECO countries.1: Introduction.- 1.1 The System-Wide Approach to Consumption Economics.- 1.2 Two Examples.- 1.3 More on the Linear Expenditure System.- 1.4 Recent Innovations in the System-Wide Approach.- 1.5 International Consumption Comparisons.- 1.6 Some International Consumption Data.- 1.7 Indexes of International Consumption Data.- 1.8 Some Results from the LPW Study.- 1.9 The Rotterdam Model.- 1.10 Workings Model.- 1.11 Workings Model and Differential Demand Equations.- 1.12 Further Evidence on Workings Model.- 1.13 A Demand System for the World.- 1.14 The Comparability of International Data.- 1.15 Policy Implications.- Appendix to Chapter 1.- References.- 2: Empirical Regularities in OECD Consumption.- 2.1 Introduction.- 2.2 The OECD Database.- 2.3 Budget Shares and Price and Quantity Log-changes.- 2.4 Divisia Moments.- 2.5 Relative Prices and Consumption.- 2.6 Double-Log Demand Equations.- 2.7 A Birds Eye View of the Elasticities.- 2.8 Is there a Relationship Between the Price and Income Elasticities?.- 2.9 The Relationship Between the Autonomous Tl“Ã