calc1eps: Calculate the exponents in the demand equation.

In JGCRI/ambrosia: An R package for calculating and analyzing food demand that is responsive to changing incomes and prices

Calculate the exponents in the demand equation.

Description

This is an approximation to the Slutsky equations, inasmuch as we use these as the exponents directly, instead of solving for exponents that produce these values as the elasticities.

Usage

calc1eps(alpha.s, alpha.n, eta.s, eta.n, xi)

Arguments

alpha.s	Budget fraction for staple foods.
alpha.n	Budget fraction for nonstaple foods.
eta.s	Income elasticity for staple foods.
eta.n	Income elasticity for nonstaple foods.
xi	Matrix of Hicks elasticities

Value

matrix of price elasticities, where xi[1],xi[4] are staple and non-staple price elasticities, rest are cross elasticities

JGCRI/ambrosia documentation built on June 11, 2025, 12:29 a.m.