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สถาบันวิจัยเศรษฐกิจป๋วย อึ๊งภากรณ์
Puey Ungphakorn
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Call for Papers: PIER Research Workshop 2025
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Discussion Paperdp
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Year
2025
2024
2023
2022
...
7 June 2022
20221654560000000
No. 181

Differences in Household Food Demand by Income Category As Evidenced in Rural Thailand

Abstract

This research investigated the response of food demand to changes in price and income, as well as to determine how demographic variables make an impact on food demand of Thai rural households. Quadratic Almost Ideal Demand System (QUAIDS) was used to obtain parameter estimates of the food demand for 13 food commodities. Findings shows households with more family members tended to purchase high calorie and necessary foods instead of the more expensive and unnecessary one. The percentage of adults aged over 65 had caused negative impact on the demand for rice, starches and pulses, meats and poultry. Signs of expenditure elasticities and own-price elasticities were found consistent with the consumer demand theory. Increase in household food budget led to an increase in demand of eggs and dairy products, rice, ready-to-eat foods, oils and fats, and alcoholic beverage and tobacco. Additionally, all own-price elasticities were negatively related to the budget shares of household food consumption. The households at low level of income are likely to change their budget shares toward the major food groups that provide basic nutrients (e.g., rice, fruits, vegetables, and ready-to-eat products) more than middle-and high-income groups. Estimated income elasticities with respect to rice, eggs and dairy products, fruits, ready-to-eat and instant products, and alcoholic beverage and tobacco were above 0.5 while the income elasticity of rice was in the same range for all household groups.

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JEL: O12O15D12Q18
Tags: expenditure elasticityfood demandown-price elasticitypovertythailand
The views expressed in this workshop do not necessarily reflect the views of the Puey Ungphakorn Institute for Economic Research or the Bank of Thailand.
Chaowana Phetcharat
Chaowana Phetcharat
Chiang Mai University
Warattaya Chinnakum
Warattaya Chinnakum
Chiang Mai University

Puey Ungphakorn Institute for Economic Research

273 Samsen Rd, Phra Nakhon, Bangkok 10200

Phone: 0-2283-6066

Email: pier@bot.or.th

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