Flexible Specification of Mixed Demand Systems
Moschini, GianCarlo; Vissa, A.
American Journal of Agricultural Economics Vol. 75 no. 1 (January 1993)
A new approach to deriving Slutsky relations for mixed demand functions is developed to formulate a Rotterdam mixed demand model. The mixed Rotterdam specification, which overcomes some of the problems associated with flexible functional forms, is tested on the Canadian meat market where there is virtually free trade in beef and pork while chicken supply is restricted. Elasticity estimates from the mixed demand system are the same as those of a direct Rotterdam model.


