An Almost Ideal Demand System for Visitor Expenditures

An Almost Ideal Demand System for Visitor Expenditures

The authors analyse expenditure by visitors to Hawaii on six categories of goods, and estimate own and cross price elasticities of demand.

Share Content

Facebook
Twitter
LinkedIn

Related Articles

The Role of Wealth in Demand for International Air travel

The authors formulate and estimate a model of international air travel demand for Israel. Consumers’ wealth is found to be a significant determinant and failure to include it in the estimated equations yields price elasticities which are biased downward and income elasticities which are biased upward.

View Journal »

A Review of New Demand Elasticities with Special Reference to Short and Long Run Effects of Price Changes

A literature review suggests that increases in real fuel prices would lead to a short run reduction in both traffic and consumption, due to more careful driving and differential responses for different journeys. In the longer run the effects would be increased. It is suggested that non-dynamic estimation methods are biased, and that transport prices have wider effects, and are a more important lever of transport policy, than has sometimes been assumed.

View Journal »