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Food import demand in the Czech Republic

  • Author(s): Janda, Karel
  • Rausser, Gordon C.
  • McCluskey, Jill
  • et al.
Abstract

This paper provides an overview of Czech food import demand in the transition period of the 90's. It also provides econometrical estimates of own- and cross-price elasticities and group expenditure elasticities of Czech import demand for a number of foods. Based on the Hausman test for endogeneity, which supports the hypothesis that Czech import prices were exogenously determined outside of the Czech economy, we estimated five demand models as direct-demand systems of the AIDS type. The econometric estimation of elasticities was based on bimonthly data from March 1993 to August 1997.

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