We estimate the elasticity of charitable giving with respect to persistent and transitory price and income changes using a 1979–2006 panel of tax returns. Our estimation procedure allows for anticipation of and gradual adjustment to tax changes, controls for various potential sources of omitted variable bias via fi xed effects and income-class specifi c year dummies, and allows for a fl exible ...

OBJECTIVE During the past decades, smoking prevalence in Greece was estimated to be near or over 40%. Following a sharp fall in cigarette consumption, as shown in current data, our objective is to assess smokers' sensitivity to cigarette price and consumer income changes as well as to project health benefits of an additional tax increase. METHODS Cigarette consumption was considered as the de...

In this short paper, uncertainties on resource stock and on technical progress are introduced into an intertemporal equilibrium model of optimal extraction of a non-renewable resource. The representative consumer maximizes a recursive utility function which disentangles between intertemporal elasticity of substitution and risk aversion. A closed-form solution is derived for both the optimal ext...

When energy prices increased suddenly and unexpectedly in 1973-74 and 1979-80, a portion of the long-lived capital stock in U.S. manufacturing was rendered economically less valuable. In this paper we develop an analytical framework, consistent with the theory of cost and production, that provides an appealing structural interpretation of this capital revaluation phenomenon. In the spirit of a ...

almost ideal demand system (aids) and rotterdam model have been employed to (by means of seemingly unrelated regression (sur) estimate the function related to milk and dairy products in the urban societies of iran for years 1982 to 2009. cross and cross price elasticities have been evaluated too. results indicated that during the study period, share of milk products in household budget was more...

A quarterly, weakly-separable, Quadratic, Almost Ideal Demand System is estimated for beef, pork and chicken in Canada. The restrictions that would lead to the less flexible AIDS model were rejected at the five per cent level. Results for the first stage model indicated that demand for the meat group is inelastic, with an own-price elasticity of -0.24. Demand for beef in Canada was inelastic du...

Evidence has shown that the provision of product information in electronic markets decreases the price elasticity of demand due to the ‘fit’ cost. This effect, however, could differ according to how consumers perceive the value of the product information to their quality evaluation procedures. If the information has very limited value, then they may not rely on it; thus, the demand elasticity m...

Analysis of spatial panel data is of great importance and interest in spatial econometrics. Here we consider cigarette demand in a spatial panel of 46 states of the US over a 30-year period. We construct a demand equation to examine the elasticity of per pack cigarette price and per capita disposable income. The existing spatial panel models account for both spatial autocorrelation and state-wi...

Most US consumers are charged a near-constant retail price for electricity, despite substantial hourly variation in the wholesale market price. The Smart Grid is a set of emerging technologies that will facilitate "real-time pricing" for electricity and increase price elasticity of demand. This paper simulates the e¤ects of this increased demand elasticity using counterfactual simulations in a ...

We employ a 2x3 factorial experiment to study two central factors in the design of prediction markets (PMs) for idea evaluation: the overall design of the PM, and the elasticity of market prices set by a market maker. The results show that ‘multi-market designs’ on which each contract is traded on a separate PM lead to significantly higher trading performance than ‘single-markets’ that handle a...