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Abstract

There has been significant shifts in both international and domestic demand for U.S tree nuts over the past decade with potentially mixed effects for U.S producers and consumers. This paper investigates short run and long run dynamics in the domestic demand for six brands of tree nuts (pecan, almonds, walnuts, macadamias, pistachios and hazelnuts) using annual time series data for utilization and value. A static and a dynamic Almost Ideal Demand system (AIDS) was estimated with Seemingly Unrelated Regression. We analyzed consumers responsiveness to price and expenditure using parameters derived from the model

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