We focus on residential electricity and gas demand, and ask three research questions. First, how does residential energy use respond to prices? We specifically wish to examine whether ownand cross-price elasticities have changed in recent years, given the evolution of the energy market. Second, is such responsiveness sensitive to equipment and energy choices that are not easily reversed (e.g., ...

Timber supply has traditionally been modelled using aggregate data. In this paper, we build aggregate supply models for four roundwood products for the US state of North Carolina from a stand-level harvest choice model applied to detailed forest inventory. The simulated elasticities of pulpwood supply are much lower than reported by previous studies. Cross price elasticities indicate a dominant...

This paper estimates a price elasticity using a flexible demand specification on survey data where prices are observed with error are correlated with household characteristics. The demand function is modeled as being a polynomial (and more generally also including trigonometric terms) in the unobserved true prices and the form of the dependency between the observed (mismeasured) prices and hous...

This study examines the effectiveness of price versus nonprice promotion programs for U.S. poultry exports. A comparative static simulation framework is specified for this purpose. The elasticities needed for the simulation model are estimated using seemingly unrelated regression and time-varying parameter regression techniques. Results from this study indicate that a price subsidy is more effe...

This paper examines the robustness of Deaton’s widely used method for estimating consumer responses. While unit values, ratios of expenditures to quantities purchased, are often employed in demand analysis as proxies for missing market prices, Deaton argues bias is likely to result as a consequence of both quality effects and measurement error. Hence he proposes a procedure that corrects the bi...

Aggregate timber supply by ownership was investigated for a small region by applying stand-level harvest choice models to a representative sample of stands and then aggregating to regional totals using the area-frame of the forest survey. Timber harvest choices were estimated as probit models for three ownership categories in coastal plain southern pine stands of North Carolina using individual...

Of necessity, many tax-price elasticities are calculated from tax return data. Survey data on families’ charitable giving and reporting on their tax returns indicate that reporting is a significant part of tax-price elasticity estimates. Roughly a quarter of the tax-price elasticity estimated from tax returns represents changes in reporting as opposed to changes in actual donations. These resul...

This paper examines the effects of measurement errors in household shopping plans and price beliefs on the estimates of price elasticities in retail outlet choice. Previous studies parsimoniously use realized purchases as a proxy for unobserved shopping lists and assume homogenous price expectation across all households and over the entire sample period. This measurement error in forecasting ex...