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The Demand for Butter, Margarine, and Oils: A Nonparametric Test for Evidence of Structural Change

Published online by Cambridge University Press:  05 September 2016

Kim Jensen  and
Scott Bevins
Kim Jensen
Affiliation:
Department of Agricultural Economics and Rural Sociology, University of Tennessee, Knoxville
Scott Bevins
Affiliation:
Department of Agricultural Economics and Rural Sociology, University of Tennessee, Knoxville
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Abstract

The objective of this study was to determine whether structural change in the demand for butter, margarine, and salad and cooking oils occurred between 1967 and 1986. A nonparametric method, which does not require that a functional form be imposed on the data, was used to test for violations from stable, well-behaved preferences. Violations were found, but they were small in magnitude. Therefore, the results failed to show strong evidence that consumption patterns for butter, margarine, and oils were inconsistent with stable preferences.

Keywords

fats and oils demandstructural changenonparametric testing

Information

Type
Articles
Information
Journal of Agricultural and Applied Economics , Volume 23 , Issue 2 , December 1991 , pp. 59 - 64
Copyright
Copyright © Southern Agricultural Economics Association 1991

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