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A simple nested test of the Almost Ideal Demand System

✍ Scribed by Keith R. McLaren; Jane M. Fry; Tim R. L. Fry


Book ID
105128804
Publisher
Springer-Verlag
Year
1995
Tongue
English
Weight
638 KB
Volume
20
Category
Article
ISSN
0377-7332

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Rotterdam model versus almost ideal dema
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## Abstract The Rotterdam model and the Almost Ideal Demand System (AIDS) are often applied in consumer demand systems modeling. Using Monte Carlo techniques, we determine which model performs best in recovering the true elasticities of demand. The AIDS model is usually used in linearized form. Sin