TY - EJOUR AB - When elementary prices move strictly proportionately, aggregation over a group of diverse products is valid, and group demand responses can be decomposed into quality and quantity responses. This study shows that when relative elementary prices and group prices are stochastically independent, a similar decomposition is valid. Empirical results suggest consumers respond to changes in prices and income mostly by altering the quality of meat products. These findings imply that using commercial disappearance as a proxy for food demand can be misleading for policy analysis. Key words: commodity aggregation, Composite Commodity Theorem, composite demand, Generalized Composite Commodity Theorem, quantity-quality decomposition AU - Reed, Albert J. AU - Levedahl, J. William AU - Clark, J. Stephen DA - 2003-04 DA - 2003-04 DO - 10.22004/ag.econ.30719 DO - doi EP - 70 EP - 53 ID - 30719 IS - 01 JF - Journal of Agricultural and Resource Economics KW - Demand and Price Analysis KW - commodity aggregation KW - Composite Commodity Theorem KW - composite demand KW - Generalized Composite Commodity Theorem KW - quantity-quality decomposition L1 - https://ageconsearch.umn.edu/record/30719/files/28010053.pdf L2 - https://ageconsearch.umn.edu/record/30719/files/28010053.pdf L4 - https://ageconsearch.umn.edu/record/30719/files/28010053.pdf LA - eng LA - English LK - https://ageconsearch.umn.edu/record/30719/files/28010053.pdf N2 - When elementary prices move strictly proportionately, aggregation over a group of diverse products is valid, and group demand responses can be decomposed into quality and quantity responses. This study shows that when relative elementary prices and group prices are stochastically independent, a similar decomposition is valid. Empirical results suggest consumers respond to changes in prices and income mostly by altering the quality of meat products. These findings imply that using commercial disappearance as a proxy for food demand can be misleading for policy analysis. Key words: commodity aggregation, Composite Commodity Theorem, composite demand, Generalized Composite Commodity Theorem, quantity-quality decomposition PY - 2003-04 PY - 2003-04 SP - 53 T1 - Commercial Disappearance and Composite Demand for Food with an Application to U.S. Meats TI - Commercial Disappearance and Composite Demand for Food with an Application to U.S. Meats UR - https://ageconsearch.umn.edu/record/30719/files/28010053.pdf VL - 28 Y1 - 2003-04 T2 - Journal of Agricultural and Resource Economics ER -