engleski

The microeconomic approach to food demand modelling: Empirical results for Croatian households

This paper provides a detailed analysis of food expenditures of Croatian households by using microeconomic approach and food system modelling. The aim is to provide the in-depth research of Croatian food demand using a methodology that process household-level consumption data. Consequently, we estimate various economic and socio-demographic parameters affecting aggregate demand for food and empirically derive different food demand elasticities. QUAIDS model have been used in order to perform simultaneous modelling of a demand system with the assumption of a rational consumer, which behaves independently of other consumers. The research results show significant variability in household consumption, which is influenced not only by economic, but also by socio-demographic determinants of demand. The main findings do not deviate in large scale when compared with other (post)transition countries of a similar geo-political profile. These results provide a deeper understanding of Croatian households’ behaviour and could be used as a powerful tool in simulating the effects of public policy changes on a range of indicators, from the consumer well-being to the effects on budget revenues.

Demand analysis, personal consumption, food demand, QUAIDS model, demand elasticity

This work has been supported by the University of Rijeka under the project number Uniri-drustv- 18-24 and Uniri-drustv-18-228.