The present paper studies consumption pattern of the following selected items; housing, appliances & furniture, fuel and clothing, for urban households in Iran through Error Correction Model Linear Approximate of Almost Ideal Demand System (ECM-LA-AIDS) based on a c More
The present paper studies consumption pattern of the following selected items; housing, appliances & furniture, fuel and clothing, for urban households in Iran through Error Correction Model Linear Approximate of Almost Ideal Demand System (ECM-LA-AIDS) based on a co-integration approach from 1980 to 2010.
The results indicate that while Iranian households suffer from money illusion, there is speedy adjustment toward long-run equilibrium in the first three markets.
Comparing short-term price elasticities of demand with long-term Marshal/Hicks elasticities indicate that implementation of price control are more effective in short run. However, expenditure elasticities for all categories except clothing are higher in the long-run.
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In this study, due to the necessity of targeted subsidies to the need for supportive policies on food security of vulnerable and detailed cost data - household income in 1388 and mathematical programming techniques (MGA), the demand system is almost ideal (AIDS) and com More
In this study, due to the necessity of targeted subsidies to the need for supportive policies on food security of vulnerable and detailed cost data - household income in 1388 and mathematical programming techniques (MGA), the demand system is almost ideal (AIDS) and compensating variation (CV) was used.In this study, basket of food has been so favorable that, while fine for standard amounts of nutrients, the budget confirmed a household medicine community as well as it has been applied. In the next step the main group of edible materials which had highest share in household costs have been introduced oral material and after estimating these groups demand functions by approximated almost Ideal demand system and method of regression separate appearance patterns (SUR) demand functions coefficients were obtained. Then using the same elasticity values of the demand analysis, spontaneous, and introduces the crossover has been calculated and the results are used to estimate the effects on welfare. It is notable that goal of this study was to focus on the provision of food security is vulnerable strata, using economic estimates of damage to households that have been introduced in this regard and comparison of effects of welfare changes in some price of major household goods, edible basket, vulnerable households as community has been defining the target and finally, with the emphasis on the necessity of identification of that society, necessary credits to support of optimal shopping free get into account premises Of different goods have been introduced in scenarios price is achieved.
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The main objective of the article is to evaluate possible effects of targeting subsidies on the performance of VAT revenues in IRAN. Considering the characteristics of the VAT system in Iran, the Almost Ideal Demand System (AIDS( and Panel data methods have been used to More
The main objective of the article is to evaluate possible effects of targeting subsidies on the performance of VAT revenues in IRAN. Considering the characteristics of the VAT system in Iran, the Almost Ideal Demand System (AIDS( and Panel data methods have been used to forecast the VAT revenues in two different scenarios (targeting and not-targeting of subsidies) for the years 1389,1390. The results of the study show that targeting subsidies in 1389 may result in 19 percent increase in the revenue, while targeting subsidies in 1390 increases VAT by 41 both in current prices. Furthermore, the results of the model show that if the subsidies is not targeted and the 1389 budget bill forecast of the VAT is also replaced with the Forecasts made by the author, then the growth of the VAT will be negative. However the negative growth will be slight if the subsidies are targeted in the current year. Therefore, it is concluded that targeting subsidies may realize the budget forecasts of the VAT.
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The main purpose of this paper is to investigate the effects of energy carriers price increases on composition of consumption expenditures of urban households using Almost Ideal Demand System(AIDS). For this purpose, initially seven groups of goods and services includin More
The main purpose of this paper is to investigate the effects of energy carriers price increases on composition of consumption expenditures of urban households using Almost Ideal Demand System(AIDS). For this purpose, initially seven groups of goods and services including: food and beverage portion, shoes and clothing, transport, communication, hotels and restaurants, water, electricity, gas and other fuels, and other groups is estimated by applying seemingly unrelated regression method and data years of 1380-1389 for 10 cost deciles.Then, the average share of the groups for the years 1390 to 1392 by considering two scenarios increased by 20 and 38% of the price of water, electricity, gas and other fuels as a proxy for energy carriers is predicted. Our results indicate that despite the change in the share of each group of goods based on these two scenarios, but this does not shift in consumer preferences or combined groups of urban households in different deciles.
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The main purpose of this paper is to investigate the composition of consuming expenditures of urban households in Iran under various scenarios of the price of energy carriers. For this purpose, initially, goods and services consumed by urban households are divided into More
The main purpose of this paper is to investigate the composition of consuming expenditures of urban households in Iran under various scenarios of the price of energy carriers. For this purpose, initially, goods and services consumed by urban households are divided into 7 groups and the share of total household expenditures is estimated by applying an almost ideal demand system (AIDS) and the data of the years 2001-2010 for 10 cost deciles. Then, the average of the share of each of these groups is simulated for the years 2011 -2013 under two scenarios of 20 and 85 percentage of the price. The results indicate that using either of these two scenarios does not change the consumption composition of urban households and consumers preferences before relating the price to the needs and priorities. So, if the government plans to impose steep price scenarios, it should follow supporting supplements policies to compensate the decline of consumer welfare.
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In most of empirical studies based on almost ideal demand system (Aids), the elasticity of the price and income estimated by these equations resulted to some sensitive policy making recommendations in microeconomics and macroeconomics. It is in such a case that there is More
In most of empirical studies based on almost ideal demand system (Aids), the elasticity of the price and income estimated by these equations resulted to some sensitive policy making recommendations in microeconomics and macroeconomics. It is in such a case that there is some doubt about reliability of linear estimation of such models. In this study, the performance of linear and non-linear almost ideal demand system is under the investigation. For this purpose, seemingly unrelated regression (SURE) method will be applied to estimate linear model and multilayered feed forward neural network (MFNN) is used to estimate a non-linear one. The results indicate that multilayered feed forward neural network is associated with less error than the linear model, and consequently, leads to a better estimation of almost ideal demand system. This result creates some hesitate on application of Stone price index for linear zing estimation of almost ideal demand system. Therefore, it is suggested that feed forward neural network will be applied to estimate almost ideal demand systems.
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Abstract The aim of this research is to estimate the food price and income elasticities in urban household of Tehran province. For this purpose, the data of household food items in Tehran province used by different groups of household consumer goods are gathered and th More
Abstract The aim of this research is to estimate the food price and income elasticities in urban household of Tehran province. For this purpose, the data of household food items in Tehran province used by different groups of household consumer goods are gathered and then handled as a combination of linear almost ideal demand system based on seemingly unrelated regression (SUR) during 2004- 2012. In this paper, the behavior of price and income elasticities has been studied in urban households. The overall results represent that cereals, dairy products and oils group are a part of essential commodities. Meats, fish and marine animals are luxury goods. Cross-price elasticities, in term of absolute value, are less than one in most cases. Auto-price elasticity of fish and marine animals is more than one unit. In other word, this group is a kind of elastic goods
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AbstractThe power industry as one of the fundamental industries plays an important role in economic development and welfare of society. With respect to the importance of electrical energy in application of modern technology and environmental issues, this paper aimed at More
AbstractThe power industry as one of the fundamental industries plays an important role in economic development and welfare of society. With respect to the importance of electrical energy in application of modern technology and environmental issues, this paper aimed at estimating the almost ideal demand of electrical energy of Iran in industrial section. To do so, the data were gathered during a period of time 1350 to 1390 and regression model SUR was employed to identify price, income, an cross elasticity concerning demand of electrical energy in industrial section. The results demonstrated that electrical energy is taken into account as an essential commodity in industrial section. On the other hand, other energies cannot substitute the electrical energy in industry. Interestingly, due to the low elasticity of electrical energy, the policy of price increasing cannot be a good solution for reduction of electrical energy. Therefore, policies in the electric energy sector must first be non-price and income-based, and secondly, they must be done with special care, so as not to cause structural changes in the consumption of this strategic commodity. Based on the obtained results, it is suggested that the energy policy in the industry should first be non-price and have an income, and secondly, it should be done carefully, which will cause a structural change in the consumption of this strategic commodity.
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