1 / 4

Decision to buy pork

Decision to buy pork. Consumers are less likely to buy fresh & other pork if their prices increase. Consumers are more likely to buy fresh pork if beef price increases but less likely to buy other pork if egg price increases.

armand-larson
Download Presentation

Decision to buy pork

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Decision to buy pork • Consumers are less likely to buy fresh & other pork if their prices increase. • Consumers are more likely to buy fresh pork if beef price increases but less likely to buy other pork if egg price increases. • Consumers are more likely to buy fresh & other pork if their total food expenditure increase.

  2. Table 1: Demand elasticity of pork

  3. Table 2: Cross-elasticity of pork to other food

  4. Demand elasticity of pork • Demand for fresh and other pork is fairly inelastic. • Poultry, beef and fish are substitutes of fresh pork while seafood appears to be complement (see compensated elasticity). • Other pork, eggs and seafood are complements of fresh pork, if income effect is considered. • Poultry and seafood are substitutes of other pork (see compensated elasticity).

More Related