International Journal of Agricultural Sciences
Vol 4, No 2 (2020)

Estimating Food Elasticities for Urban and Rural Households in Indonesia

Dian Hafizah (Faculty of Agriculture Andalas University)
Dedi Budiman Hakim (Faculty of Economics and Management, IPB University, Kampus Dramaga, Bogor, Indonesia)
Harianto Harianto (Faculty of Economics and Management, IPB University, Kampus Dramaga, Bogor, Indonesia)
Rita Nurmalina (Faculty of Economics and Management, IPB University, Kampus Dramaga, Bogor, Indonesia)



Article Info

Publish Date
29 Dec 2020

Abstract

This study aimed to analyze changes in household consumption patterns in rural and urban areas due to price changes in the rice commodity. The data sources used were the 2016 National Socio-Economic Survey (SUSENAS). Household food consumption data were grouped into ten food groups, while respondent households were grouped into four household groups, i.e., rich urban, poor urban, rich rural, and poor rural groups. The research methodology used was QUAIDS and Elasticity. The results showed that the characteristics of the four household groups on the variable number of household members and the age of the household head had almost the same average. However, the household heads were different in the variable of education length. The longest education was in the rich urban group, while the least was in the poor rural group. Likewise, the highest average income was the rich urban group, and the lowest was the poor rural group. As for commodities, the poor areas share that were greater than the rich ones are rice, other carbohydrates, fat, fruits, spices, and other ingredients. In contrast, the larger commodities in rich areas than in poor areas were meat, eggs-milk-and beans, vegetables, cigarettes, and prepared foods. Of the four commodity groups, the highest share was cigarettes and prepared foods, greater in rich areas than in poor areas, both for urban and rural areas. For the rice commodity, the household group with the highest share was the poor rural group of 0.23, while the smallest was the rich urban group of 0.1033

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Journal Info

Abbrev

ijac

Publisher

Subject

Agriculture, Biological Sciences & Forestry Decision Sciences, Operations Research & Management Economics, Econometrics & Finance Environmental Science Social Sciences

Description

International Journal of Agricultural Sciences is an open access journal published by the Graduate Program of Andalas University. IJASC publishes original research findings from throughout the world related to strategic and applied studies in all aspects of agricultural science, as well as reviews ...