Food Demand Projections Using Full Demand Systems

Abstract

Disaggregated food demand projections for developing countries, although essential for improved development planning and effective policy making, are rare. Moreover food demand projection models are usually based on aggregated, national-level data. In this article, under conditions of weak separability and multistage budgeting decisions, a structural model capable fo generating regional-level food demand projections for a disaggregated set of commodities is developed and estimated using data from an Indonesian expenditure survey. Regional food demand projections in Indonesia obtain under a scenario assuming constant real prices are then combines into national-level estimates.