Volume 11, Issue 41 (12-2020)                   jemr 2020, 11(41): 51-89 | Back to browse issues page

XML Persian Abstract Print

Download citation:
BibTeX | RIS | EndNote | Medlars | ProCite | Reference Manager | RefWorks
Send citation to:

Mehrara M, Yavari G, Yaseri H. The impact of rice imports on domestic consumer welfare using the inverse demand system. jemr. 2020; 11 (41) :51-89
URL: http://jemr.khu.ac.ir/article-1-2034-en.html
Abstract:   (311 Views)
Rice is the second strategic product after wheat and one of the most widely consumed food products in the country. Population growth, consumption and growing demand, price fluctuations and welfare effects due to changes in the amount and price of rice require the attention and planning and foresight of policymakers and the country's planning system. In this study, in the framework of inverse demand system, rice types (foreign rice 1 and 2 as well as four types of domestic rice) using cross-sectional data related to consumption and expenditure of urban households during the years 96-1392 were estimated by seemingly unrelated regression estimation (SURE) method. And from 4 systems of reverse demand IADIS, IROT, INBR and ICBS Only the inverse demand system IADIS It is compatible with the data of the research method and according to the results of the statistics, the correlation ratio is superior to the other three models In order to study the welfare effects, four scenarios were defined and by compensating the compensatory and equilibrium effects and combined changes were determined.  Due to the share of more than 60% of first grade foreign rice and second grade foreign rice in the expenditure share of urban households, a change in the amount of consumption of this type of rice compared to domestic rice can have a more significant impact on household welfare. The results of changing the values of different types of rice on their prices in the form of different scenarios showed that if the consumption values of imported rice decrease, the price of this rice will increase. However, the rate of price change for different types of rice is not the same, and its intensity depends on the amount of traction and the scale of each. On the other hand, the demand for different types of rice will increase in the future for various reasons, including population growth, which if this increase in demand is not accompanied by an increase in market value, will increase the price of various types of rice.
Full-Text [PDF 644 kb]   (91 Downloads)    
Type of Study: Applicable | Subject: کشاورزی
Received: 2020/05/13 | Accepted: 2020/09/20 | Published: 2021/01/10

1.  Barikani, A .Sh,Shajari ; Amjadi, A. (2007). Calculation of Price and Revenue Elasticities of Food Demand in Iran. Using an Almost Ideal Dynamic Demand System. Journal of Agricultural Economics and Development, Fifteenth Year,60: 145-125.(Inpersian)
2.  Deaton, A. 1988 "Quality, Quantity, and Spatial Variation of Price," Americaneconomic Review (78) : 418-30.
3.  Deaton, A. , Muellbauer, J., 1980. An Almost Ideal Demand System. the American Economic Review, 70: 312-326.
4.  Deaton, A., J.Muellbauer. 1980. Economics and Consumer Behavior,Cambridge University Press, Cambridge. Dheibi, B. and Gil, J.M. 2003. Forecasting Food Demand in Tunisia Under Alternative Pricing Policies. Food Policy, 28: 167-186. [DOI:10.1016/S0306-9192(03)00027-7]
5.  Dhoubhadel, S. P and M. C. Stockton. 2010. "The US Import of Beef: Substitute Or Complement for Domestic Beef. Production?." 2010 Annual Meeting, February 6-9, 2010, Orlando, Florida.No. 56509.Southern Agricultural Economics Associationeales, J. S and L. J. Unnevehr. 1994. "The Inverse Almost Ideal Demand System." European Economic Review 380.1: 101-115. [DOI:10.1016/0014-2921(94)90008-6]
6.  Eales, J., Durham, C. and Wessells, C.R. 1997. Generalized Models of Japanese Demand for Fish. American Journal of Agricultural Economic, 79: 1153-1163. [DOI:10.2307/1244272]
7.  Fallahi, F., Mohammadzadeh, P. and Hekmatifarid, P. 2013. Investigating the Welfare Effects of Increasing the Price of Commodity Groups of Urban Households in the Country. Journal of Economic Research. 48 (2): 150-131.(In Persian)
8.  Fallahi, F., Mohammadzadeh, P. and Hekmatifarid,S,(2011),Study of Poverty and Its Determining Factors Among Urban Households in the Country, Journal of Economic Modeling Research. 2011; 1 (2) :41-64. (In Persian).
9.  Hassanpour,A. (1999). "Study of Price Behavior of Potatoes, Tomatoes and Onions Using the Reverse Demand System". Proceedings of the Third Conference On Agricultural Economic .(In Persian).
10.  Huang, K. S. 1988. "An Inverse Demand System for US Composite Foods." American Journal of Agricultural Economics 70.4: 902-909. [DOI:10.2307/1241932]
11.  Huang, K.S. 1983. the Family of Inverse Demand System, European Economics Review, 23:329-37. [DOI:10.1016/0014-2921(83)90036-3]
12.  Huang, K.S. 2000. Forecasting Consumer Price Indexes for Food: A Demand Model Approach. Food and Rural Economics Division, Economic Research Service, U.S. Department of Agriculture, Technical Bulletin. 1883.Huang, K.S. 2011.Measuring Inverse Demand Systems and Consumer Welfare. Paper Provided By Agricultural and Applied Economics Association in Its Series 2011 Annual Meeting, July 24-26, 2011, Pittsburgh, Pennsylvania with Number 103258.
13.  Ismaili, A (2010). Investigating the Transferability of Global Prices of Mutton, Beef and Poultry in the Country. Iranian Journal of Agricultural Economics and Development Research. 2: 146-137.(In Persian)
14.  Mortazavi, S. A,Abbasmiri., A. Chizari and M.Kavosi. (2012). Investigating Banana Imports in Iran. Agricultural Economics Research, 4: 20-1.(In Persian)
15.  Young, T. 1990. "An Inverse Demand System for US Composite Foods: A Comment." American Journal of Agricultural Economics 72.1: 237-238. [DOI:10.2307/1243163]
16.  K. K. G. Wong, Lin Zhu &Vinh Q. T. Dang (2019) Effects of Income Distribution in an Inverse Demand System: Evidence From Chinese Household Survey Data, Applied Economics, 51:49, 5328-5344, DOI: 10.1080/00036846.2019.1610720 [DOI:10.1080/00036846.2019.1610720]
17.  Pei Huang, "An Inverse Demand System for the Differentiated Blue Crab Market in Chesapeake Bay," Marine Resource Economics 30, No. 2 (April 2015): 139-156. [DOI:10.1086/679971]
18.  Salami,H. Jafari and Z. Shokohye. (2012). Biased Estimation of Aggregation in the Almost Ideal Demand System for Different Types of Meat in Iran. Journal of Agricultural Economics and Development, 1: 78-71.(In Persian)
19.  Sohrabi, F., J.Hosseinzadhe. ,Gh. Dashtye. (2011). "Estimation of Demand System for the Main Group of Foodstuffs of Urban Households in Iran Using Reverse Demand System". Agricultural Economics Research, 3 (4): 37.(In Persian)
20.  Sun C-H, Chiang F-S, Squires D, Rogers A, Jan M-S (2019) More Landings for Higher Profit? Inverse Demand Analysis of the Bluefin Tuna Auction Price in Japan and Economic Incentives in Global Bluefin Tuna Fisheries Management. Plos ONE 14(8),Published: August 23, 2019 Https://Doi.Org/10.1371/Journal [DOI:10.1371/journal.pone.0221147]
21.  Zamanzadeh H, Shahmoradi A. Estimating the Poverty Lines in Iran Based On Household Scale.Journal of Economic Modeling Research, 2012; 2 (6) :1-18.(In Persian).
22.  Stone, J. 1954. Linear Expenditure Systems and Demand Analysis: an Application To the Pattern of British, Demand, Economic Journal (64): 511-527. [DOI:10.2307/2227743]
23.  .Zamanzadeh H, Shahmoradi A. Estimating the Poverty Lines in Iran Based On Household Scale.Journal of Economic Modeling Research, 2012; 2 (6) :1-18. (In Persian)

Add your comments about this article : Your username or Email:

Send email to the article author

© 2021 All Rights Reserved | Journal of Economic Modeling Research

Designed & Developed by : Yektaweb