Year: 2013
Type: article
Study design: Observational Study
Abstract: The concept of equivalence scales is considered as a measure of the welfare of different demographic types of household.The paper presents results of the estimation of equivalence scales using a complete demand system (CDS) approach.Within this approach, ESE/IB and GESE assumptions are considered.For empirical parametric specifications of CDS rank three quadratic almost ideal demand systems (QUAIDS) models are employed.The data used to estimate the QUAIDS is based on a pooled cross section of the 2005-2009 Household Expenditure Survey.The results of estimation for employees' households obtained from model with ESE/IB restrictions lead to equivalence scales similar to those of widely used "modified OECD" scales.It is also found that the equivalence scales decreased as the household's expenditures increased.
Author: Hanna Dudek
Institution: Warsaw University of Life Sciences
Language: Polish
Subfield: Sociology and Political Science
Field: Social Sciences
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W1533344854