Estimation of alcohol demand elasticity: Consumption of wine, beer, and spirits at home and away from home

IF 1.6 4区经济学 Q2 AGRICULTURAL ECONOMICS & POLICY

Journal of Wine Economics Pub Date : 2022-11-01 DOI:10.1017/jwe.2022.42

Tereza Čiderová, Milan Ščasný

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Abstract

Abstract Most of the previous research examined the demand for alcohol consumed at the off-trade (consumed at home). However, some consumers might prefer to consume alcohol on-trade (away from home) or switch between on-trade and off-trade consumption as a reaction to price or income change. We estimate the Quadratic Almost Ideal Demand System consisting of three broad alcohol categories, consumed on-trade and off-trade, to derive own-price, cross-price, and income elasticities. Selectivity due to the high censoring is treated, and special attention is paid to quality-adjusted price. Beer consumption is the most responsive to income as well as own price changes, while spirits are the least responsive. The own-price elasticity of wine is –0.66 and –1.00 at on-trade and off-trade, respectively. Beer is more price responsive, spirits are less price responsive, and consumption reacts weaker in the off-trade market. Own-price elasticities of demand range between –1.20 and –0.41 at the off-trade and between –1.51 and –0.63 at the on-trade alcohol market. Increasing the price of wine in one market decreases wine consumption in another one. Between the two markets, wine and spirits are complementary, and wine and beer are substitutes in both markets.

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酒精需求弹性估计：国内外葡萄酒、啤酒和烈酒的消费

摘要以前的大多数研究都考察了在场外消费（在家消费）的酒精需求。然而，作为对价格或收入变化的反应，一些消费者可能更喜欢在交易中（离家）饮酒，或者在交易中和非交易消费之间切换。我们估计了由三大类酒精组成的二次几乎理想需求系统，即交易中和非交易消费，以得出自身价格、交叉价格和收入弹性。处理了由于高审查而产生的选择性，并特别注意质量调整后的价格。啤酒消费对收入和自身价格变化的反应最为强烈，而烈酒的反应最不强烈。葡萄酒本身的价格弹性在交易中和非交易时分别为-0.66和-1.00。啤酒对价格的反应更强，烈酒对价格的响应更少，而非贸易市场的消费反应较弱。场外交易的自有价格需求弹性在-1.20至-0.41之间，场内酒类市场的自有价格弹性在-1.51至-0.63之间。在一个市场上提高葡萄酒价格会减少另一个市场的葡萄酒消费。在这两个市场之间，葡萄酒和烈酒是互补的，葡萄酒和啤酒是两个市场的替代品。

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来源期刊

Journal of Wine Economics Agricultural and Biological Sciences-Food Science

CiteScore

3.20

自引率

28.60%

发文量

期刊介绍： The Journal of Wine Economics (JWE), launched in 2006, provides a focused outlet for high-quality, peer-reviewed research on economic topics related to wine. Although wine economics papers have been, and will continue to be, published in leading general and agricultural economics journals, the number of high-quality papers has grown to such an extent that a specialized journal can provide a useful platform for the exchange of ideas and results. The JWE is open to any area related to the economic aspects of wine, viticulture, and oenology. It covers a wide array of topics, including, but not limited to: production, winery activities, marketing, consumption, as well as macroeconomic and legal topics. The JWE has been published twice a year and contains main papers, short papers, notes and comments, reviews of books, films and wine events, as well as conference announcements. From 2013 on, the JWE has been published three times per year. The Journal of Wine Economics is fully owned by the American Association of Wine Economists (AAWE) and, since 2012, has been published by Cambridge University Press.