| aidsTestConsist {micEcon} | R Documentation |
Test whether the specification of the AIDS is consistent with microeconomic demand theory (i.e. utility maximisation).
aidsTestConsist( priceNames, shareNames, totExpName, data, coef = NULL,
alpha0 = ifelse( is.null( coef$alpha0 ), 0, coef$alpha0 ) )
## S3 method for class 'aidsEst':
testConsist( object, ... )
priceNames |
a vector of strings containing the names of the prices. |
shareNames |
a vector of strings containing the names of the expenditure shares. |
totExpName |
a string containing the variable name of total expenditure. |
data |
a data frame containing the data. |
coef |
a list containing the coefficients alpha, beta and gamma. |
alpha0 |
coefficient α_0 of the translog price index. |
object |
an object of class aidsEst. |
... |
currently not used. |
testConsist.aidsEst is a wrapper function to aidsTestConsist
that extracts all relevant arguments for aidsTestConsist
from object.
a list containing following elements:
monotony |
a logical vector indicating whether the monotony condition is fulfilled at each observation. |
mPercent |
percent of observations where the monotony condition is fulfilled. |
concavity |
a logical vector indicating whether the concavity condition is fulfilled at each observation. |
cPercent |
percent of observations where the concavity condition is fulfilled. |
cMatrices |
a list of the 'C' matrices for each observation to check for concavity (see Deaton and Muellbauer, 1980b, p.76 ). |
Arne Henningsen ahenningsen@agric-econ.uni-kiel.de
Deaton, A.S. and J. Muellbauer (1980a) An Almost Ideal Demand System. American Economic Review, 70, p. 312-326.
Deaton, A.S. and J. Muellbauer (1980b) Economics and Consumer Behavior, Cambridge University Press, Cambridge.
data( Blanciforti86 )
# Data on food consumption are available only for the first 32 years
Blanciforti86 <- Blanciforti86[ 1:32, ]
priceNames <- c( "pFood1", "pFood2", "pFood3", "pFood4" )
shareNames <- c( "wFood1", "wFood2", "wFood3", "wFood4" )
estResult <- aidsEst( priceNames, shareNames, "xFood",
data = Blanciforti86, method = "IL:L" )
tc <- aidsTestConsist( priceNames, shareNames, "xFood", Blanciforti86,
coef = estResult$coef )
tc$mPercent # great!
tc$cPercent # Oh, that is bad!
# the same can be obtained in an easier way
testConsist.aidsEst( estResult )