Food, Fuel and Urbanization in the Philippines

Page 1

BO_.

_

At_DLRB_IZAI'ION I_ ThE PHILIPPINES

by AZej_q_

N, Hem,,i_

Rodo_fo F. .Vlo_n_i_ 'STAFFPAPER SERT_ Nb. :'85_5

_INE.

__0R_

STUDIES 1985


_b_tract

Tnis paper

re%_ews

P)Lillppine data an urbenlzatlon

of food ,._d household

f_l

issues

art,dies on fo_]

"gatad

fo:- _mearc_,. by _oeJ.oecc.ta¢_i.c

residence

c_s_ti¢_

.gro_s

_',re relati_ly

and by

fe_.

Z_en

with

and patterns

_he view of i_tifylng

c_._sumption pat_er_s

_Isaggz_-

_u:a1-urban-metr_litan scar_er

are

studies

on household

fuel _sm_ti_.

_he cu_:ulaticn of knowledge is hindered

b_ the fac.t that

sets, study

1_u_.ts,categories

making. ¢_ar;i.s'-'ns available

energy

from the survey

_n

vie_

of existing t_e,

moll's,.

B,r_d1_ble studiesuse of food items

and validation

_tudies _ _-_re information :":itsw_:_:h_or_

and estimation

data techniques,

In the =ass of the uoold have been

al_propriate _ethods

data

t_, derive

more precise

estimates

ho_:.ehold s£_e el_ticities

in the const_ _lotion of

sxtra=_d

of analysis.

A. preliminary

simulation

rel:_ted to the provisi_ po.pulat-iun _..e: _

of income/e_pendi-

which

will be the critical

an ec_momlc-_emog_aphi¢

fu_l r_.quirements .and to assess

growth,

diffiuult.

_fferent

patterns

of this, a -_:_joritem in the agenda i_ the reanalysis

prlce-and

inputs

base on food _sumption

model

_esign_d

simulation

to pro_ect

_h._ implic-.,_[ons of various

food

and

poli_ies

of focal and fuel J:.nthe course of economic and urbanization

is proposed.


FO_,

Ft_L

A RE_4

tND URBANXZATI_ OF.I_TERATU_E

Ale_andzo _d

Past studi._ u_banisation

have

servi_s

f_l_

=an be ew_ect_d urb_zationo

Important mlnimize

water

by

supply

given

dimension

shaft in population

ir_lications

for marketing

food and fuel _Isruptions. to

examine

the

and

and transportation

adequate

_he i_%_lication of food and

attention.

of food and f_el security

demand

in the course of

for foo_ _d

and _ncome

to _trb_

and _istribution Accordingly,

fuel will be

distribution areas.

of the population

implications

e_ploy-

and of providing

items, namely,

from rural

distributlon

of

of generating

force

increa_ir,gly impo_ant

In demand patterns

_n the spatial

imp_caCions

labor

of two basic

(r_ra!-u_an)

chan_es

axe no_ needed

_tes

urban population.

so far not been

to besom

urban

For _._e, the aggregate

ted with the the chan_

as housing,

pr_Islon

h_

The spatial

Manuel 'F. Florentin_/

_GENDA

on tJ_e pr_bJ_ms

foz the growing

on _e

however,

affected

mainly

foe the growing

_r_anigation

AND A _SE_

N. Herr:J.n, R_Ifo F.

focused

.uch

_u_ication

P_IILIPPII_ESz

cm,the..econo_Lc and social

me_t oRportunlt/es _uic

IN _E

associaLikewise,

will

have

systems

systematic

of urbanization

to studies

on food and

_--/Professor and Assistant Professor, School of Economics, _Iversity of the Phii_ppi_es ond Director, Food and Nutrition ReHarc_ Ins_/_ute, _ati_al Science and Technolgoy Authority,' respectively.


2

•fuji to

securltyo provide

the

_he ._

cumule_'_e

bases

_or

:¢esult_

._o

of

formuI_on

_hese

stud£es

,_f policiea

aze and

expected

programs

An

future.

_his paper

attempts

data on uz_anization, ana current

to review

patterns

existing

of food

policies

Phili_ine

and f_l

and programs

llterature

in

consusptlon

related

to the provision

Section

2 provides

of

food and fuel.

This paper is organized, as..fo]luwe. descri_ion

of PhiLippine

aata ,and, analyses existing

urbanization,

on food consumption

data• and analyses

Section'5

briefly

notes

current

in the

Urbanization

population.

refers

Urbanization

and structural

to _e

Pernia

6 presents

patterns.

t_ the provision

a research

change,

and the

(1983) and Raymundo

population

associated

location

advantage

on Philippine

and Pa_eranga

of urban

the latter involving

areas to rake

studies

rise in the proportion

is us_ally

away from agriculture

Notable

related

4 examines

agenda

PhilipplnQs

that is. urban or £o the growth

in specific

whJ.le Section

fuel expenditure

policies

Section

3 examines

strategy.

Urbanizati_%

vlty

patterns

(_%household

of food and foe!. "Finally, a research

Section

a brief

(1980), (1983).

of

relative

with

the shift

to rural

economic

growth

of economic

of new economic

actl-

activities

aggl.omera_ion economies.

urbani=.ation i_clude Pernla,

of the population

Paderanga,

those

_ermoso

of Pennia

(1976).

amd Associates


3_

Sal_ent

1 t.hz'ough

Tables

13 percent

the to

featuzes

in

tempo 1948_

again

4 be, low...The

3903

1975.

Up tO

perio_ which

2.

In

of nati_al

bold

recent

relief

lev_l

Osntral

Lu2xm,

Sout/%ern

next

1980.

from

During

1948

_empo

be

growth

of

gl_aned

rose

from

t_his eigh_

1975

and

urbanization

due

rural

be

to

the

from

picking from

high

1918

up speed J_he eazly

decline

sharp

population

from

decades,

as be,_n 9 r_id

to

of

partly

of

and

pat_rn

th_

of

by

hi_

primacy

Metropolltan

13 municipalities %az_t i_

of

in

_3 percent

The in

in

spite

of

c_n

be

?_tropolit..n

rest

1_e_3•i_ns hav_ng

Tagalog,

urbanized rest

_he

_,n 1970,

mo_e of

the

in

conslsting

4 _m_S

'the

metrapolit_n

seen

in

Manila

share

_21_aya_,

_ap:_l?

_urÂŁn_!

rea_ed

Western the

How_:ver,

Table

st_,ds

r,_r_, 'u.rbanize_

Central

regions.

revealed

1980.

1970-1980. of, _e

as

Manilas had

cities_

_rbanizati_,_

u_a_Isat/on

the

marked

population

popu]atio_

S outhezn

than

is

thee

period,

l_ndanao

1975-80

the

against

perc_nt

and

the

ze_ional

._

up

may

urba-_izatiQn

characte_ized

.la_kened

cities

urban

_

be

%uguanization

1980,

Of

populati_

in

can

the

of

can

mi_rati_.

foul" chartered

the

_e_nt

1975

kept

Philippine

of

The

urbanization

le_l

so_uwhat

_al-uzban

Table

37

_o

sla_ing

_rtallty large

P_lippine

of uzbanlzation

since

postwar

of

periods during

the

3 for out .in i00

regions

of

Visayes

_d

i970-75 tl_e [975-S0

a

period, tempos

the and

less

urbanized

somehow

began

and tomove

rural in

r_gions pace

have

wi_/% t_e

speeded more

up %:,Seir

urb_i-ed

_egicns.


4

Table selec_d

4 _hows

th_

relakio_hi.ps

of _lop_ent

i_,_oaEo_

for the mo_t raoant period earlier: periods in Pernla between

including

and Paderanga

urban_Izatloa%on

on the other hand_ regic_s

uzb_i.zed .;

base

in:these

to

industriall.za_

years

(1980} .;--_/ the one

The data

hand, and

higher

incomes

make

keep their-income

_uggest

increased

its aCCOmpanying

_

Data

for

are foun_

a close

,z_lation

and, industrialization

We no,_e.,_wever, than

that

the

zural

less urbaui.zed regions more

r_ch agricultural

up. for _helr levels

that

a_erage., from the

_o

data

lower

as hiqh

levels

resource

of indus-

as the mo_'e

regions._

curso_

look at the urbanizati_

_,at _es_itc

ahead arising

declines,

based

indicators

reveal

of slackened

tempo

up to 1975, 'urb_Izati.(m may be expected

decades

(1983}.

income

__ on r.he

appear

and

chang_

_%_lopment

be e_cted..

I_ would

In sum, this Philippines

additional

rural regions

trialization

and structural

not very _fferen

regions_

u_banization

ten.ileal by Raymundo

as might

tend to exhibit

and have incon_s

be_:weer_

from

_he interactions

rural-urbnn

exi_erience in the during

to.speed

between

the postwar

up in the

rural

fertility

migret.:[on_ and econc_n_c _._owth with

str_ctur'al tr_n._:_oi_atic:.'_.

*/ --The classification of reqions into "Mo:re Urbanized', "less Urbanized" and."Ruzal", found in Pe_,ia and Paderanga (19R0) and An Raymu_do (1983) are not comparable, however_


K

•"

Urbam_zatien

an_

General growth, are

the

Food

C_slderat/onB.

demographic

quite

for

_ma_d

complex.

interzeleti_shlps

T_e

interrelationships

chan_,

urb&nization

We

howe_r,

in

may, term8

of

i_

foll c_ing 4_mand

relati.r_nships

pattezns

demographic

change.

the

diagram

examining

Moha_ t.he effect

country

starting

conditions,

policies broadly

on

tend

a low

speed

described

to

a faster

of

demand

grcwt/_ for

food

in

level

dc_n by up

of per

the

of

of

rising

urban_zatios, First,

capita less

than

unity_

and the

and

_zowth,

shaft

the in

of

of

examined tec._mo -

developing

certain

appropriate

w£_h

and

mentioned.

incon_

Engel-t}_-pe _ec_unological

mechanis_

populanlon

changes

determinants,

,_del,

a low

:_pecific

a s lc_er

economic

briefly

. L_._er

_nd

and

Ex_2_ples

demand

of

q%e

intone,

be

populatior._

i._c0mes,

framework,

common

equillbrlum

urb_ADi_at_on_

o-aezall

by

other.

may

tP:e context

these

urbanization

their

each

patte_:_

patterns

__1

to

influen_

_emand

this

determined

a dyn_.u[_icgeneral

as" follows.

being

jointly

addit/on

growth,

generated to

as in

urbanization at

In

First,

relar.ionship_

u_£ng

the_slowlng

changes

viewed

economic

conceptualize

below.

be noted.

patterns

of population

change

may

these

(1982),

logical

demand

be

in

, 4

Secomdly,

and den_nd

urbanization st%a_ies

can

changes

ini_Lally

L.......... the

and

between

g_owuh

may leads

in,._me, elasticity consumption

be


patten'm

towards

•increuee

_

the _mm_d

of urbanization° demand

_m

_hanges

£ncreased

increases

.foz'.,_an

labor

Seconely., rislng speeds

which

preference

"a_groprlete",

is _ozl_spondingly

for urban

i.e., _re

the demand

of urbanization

In another

up

for urban

urbanizat/on goods.

l_bor#

This

and, consequently,

incomes

laboz_using

faeriE.

urban

higher

and resultlng

• shift

production

and therefore

tO

.of families. early

1960s,

where

study,

Kelley

in average

Kelley

tested

(1959) examined

the

effect

of economic

family

and

growth

of the popu-

in the

ecunomlc-dem_graphic

a model

de_d

or n_-food ch_qe

FS _ chan_ RUM-

slze,

. Demographic

total number

e_erienoe

of the following

in the

form_

f('_, FS, RUM, E)

D = total

HH -

and ra_e

increase.

•.Using Philippine

D-

a moEe

the level

and demographic changes on the pattern of dem_do ._. changes.include changes in the urban-rural distrlbuti_ changes

by

technology,

growth

l_ion,

levels

Engel-type

may be reinforoed

Finally,

in tuxn

change

(expenditure

an

food

commodities

in the numb_

of households

in the average

the rate of rural-urban

family

inco_)

size

migration

E - growth of _he mean expenditure for permanent

g_)

level

(which proxies


_he ea_ir£cal Table

5.

With

results,

respect

of Kelley's

to

the

.level

analys£s

of

demand,

are

reproduced

_elle¥

observes:

in

"...Pirs_, and not too surprising, the most iwpo_an_ favor in _he Philippines case appears to be total population growth. Seoond, _pen_g upon the rate of mdoan£sa_/on,-internal migration may, under likely c£:cuastances, enter more .i_ortantly into demand than per f--_l¥ expendit_e growth. Third, the combined influence of t_o unheralded elements in demand, .internal migration and fa_ly size growth, tuxn out to _ossess a greater aggrs gate £npact than _he expanslcn in mean family e_pen_lture. • nd finallyt, the combined deeograph±c factors are overwhelmingiy the crucLal explanatory variable." (Kelley, 1969, p.: 120)

On the

of

.ccmq_sition

Table 5)

that e_dlture

dec_ame

the relat/ve

_ss

i_

S

•neutra_

_

-however,

growth allocatlon

mag_it_le,

_

itS specific e_;:mnditure

about

one fourth

effect

on demand

c_lemand, the

while

g_ov_h

and rural-urb_ on food

total

demand

effect.

change

shift is neutrali_ed

sez_ve , in more

is

largely

In the aggD account

migration

in _emand.

_hus

by _he effect

4

each

growth

papulation

oomposi_ional

(colmm

mlgration

censumptiQn

and rural-urb_

of the total

suggest:

results

their

for oombi:

of population

9x_wth.

FEOm a p .... that

both'

rapid

co_blne

to

to_ds

non-food

effects, 9_o_th.

_ .... econo_c

effect

and se_d

r .....

growth

a large: Item

shift

first)by by reducing

.:..._=_ and

a reduced

in demand Stren_gthen_ng

....

population

patterns the

the neutralizing

_ .....eEs, growth

svSy

f_m

Engel"type effect

could food

and

demand

of population


$

A_ a _n_ demand

patterns

_

Uzbeniza_on

to

food.

a partial

aggregate

aggregate

First,

for

for food

g£vmn in

the

agg_ga_

population demand from

fas_r

z_al-

e_vironment

(Rogers,

1978

as

1983)

e Studies

an Food

Consumption

Pa.,C._e.,rns.

Nati_al

sur_ey

data an family income

and expendltures

conducted

by the National

Census

and Statistics

(formerly

of Census

and Statistics)

reveal

that

Office

food e_endlturea

ditures.

total

areas

other urben

studies •survey

data

A _e¢lining

can be observed

(48-52)

been

(1974},

using the National

Census

income

share

and e_qgendltures;

half

of total

(56-60)

Manila

past.

and Ranade

and Statistics Aviguetero,

in rural

from rural

e__ al.

to

(56-60)__o

based

These

on d_fferent

included

(1976) and Canlas

Office

than

(40-45).

foOd co_sumptio:_ patterns

Goldman

e_pen-

of fooa expenditures

as onemove_

made in the recent

of Tan and Tecson

th_

is larger

and to Metropolitan

on household have

for more

The percentage

(46-48)°

e_%_e_ditures

Bureau

accounted

See Table 6.

in urban

Che_

by an urban

_emando

food

the

arising food

induced

of

a shift

d£stz_butic_

den_nd

in tUte

fr_wozk.

composit£on

shifts

inconm

elasticity

and

patterns,

aggregate

changes

equ£1ibri_m

level

corre_ndingly

raise

urganizationand

me_an4sm-.

changesin

Finally,

-.Phllippin

from

follo_ng

areas,

may

cited h_ Peznia,

between

consu_ption

Secondly,

otherwise. ma_ ra£se

the

the

u_ban

m£graC£on

relationship

viewed

urb_-_

rural

urban

be

_mugh

d£fferent£_

for

the

£nfluencma

cc_s_qpti_

fz_m

note,

survey

(1978) _d

data

those (1983)

on family.

Bennagen

(1980),

household


9

using the _St_

of Agri_Itun_

Food

Rmsear_h

and _t/on

natlc_al

nuZa_t£cm

c_ms_

patterns

thooe

of _

pollc_

of 1978

based

values,

based

Ollva

EcanomAcs,

(1971) an demand

om_s_

p_t;,t.4_

tables.

In addition

estimates

on 'agg_egative

_e

U.P.

using

functions,

in turn,

with

areas or to specific

include

done by Pants the exception

survey

4_mand

data,

ccmsumption (1980). of those

income

e_en-

Be1_ limited

and exl_n_iture

•curves for various

We report

Engel below

family

rural ax_a and by selected

Incc_

proportic_

_n food

of expenditures

vege-

anly

co_mo_i_es.

and estimated

Table 7 shows the average

of

for food,

conswtlan

food.

thoee

for selected

Tan and Tecson

inclining

of

Department

for the years 1957, 1961, 1965 and 1971,

items,

In¢lu4_

zlce pz"ic_m

by the

household

includlng

Using data from the NCSO's family

patterns

food

(1972) on _real

data on personal

have been

own

in terms

Agriculture

Aragon

and

_ty-spe_ific

conducted

food;

studies

surveys

relates

nutrition.

of

their

on rural

consumption

(1972) on damand

time_ series

its co,_ents

food

College

Urbino

_mamd

area-specific

surveys

to these

these studies

to specific

human

_ing

Studies

(1982) which

for animal _d

of ccmsummr

C_Lturea _d

_d

1983)

1982.

relates

on food ocns_on

of :Agricultural

_d

and of Men_oza

CuLts an food ccnsumptlonl

(1981,

an s_eclai

on food c_asumption

studios

Institute

{1976) Which

inutritlonal

based

suEw_s

survey

some

of theiz

expendituzes

categories. _o to_al

surveys

(1974) analyzed expenditure

results.

for food by urban-

As might expenditures

be.-e:_R_ected decline

with


I0

Inc_eamlng pat_

inc_mm,

e_

value

pEoporti_

are generally

lower

zlsem.

of a_Den4/t_zms

._or .bo_-h ..urba_ an_/ z_-al

is nhe o_

zelati_

as the total

alZ.hough

f;u_lies,

in t_m urban

than

_o the

"

in The rural

azla_. :

Tible genozal

md

8 llhCW_ll Omti_tes foe _fl¢

and for varloum of

parameters

categories

8urvmy

the

of ea_._itux_

years.

41ouble log

where

- averag6

For the Philippines

ola_tlcities

fOE "_reals"

(1.11-i. 16) or rural

differentials

elasticities the rural _

"Other Food"

areas

"Other Foods"

rural

categories

food categories.

(.87-.88). _bserve_

_d

rural

eomputed

ammos

from the

o_f the equat/on z

for

food category

_

expenditure specific

(.45-.59)

lowe_ _e

"Cs_als"

for _he Phil_ppines

while urban-ruzal

differentials

"Pr_in" Uz_mml-

be e_peet_d.

areas

hold_

k

e_pendltu_

For "Foo4"_

in the urban

class k

for food are

tham either

as might

for

class

elasticities

food items,

noting.

pattern

i by income

in income

are lowor

(,98-I,_i),

are also worth

are 9enerall_

were

family eapead/tures

as a whole,

Ira the oz_er of 0.78-0.82.

for urban

fc_z foo_ in

a+b_

Ci m e_penditures E

fo_

Elasticities form

Cik-

of

eluticitiem

euqpenditur@

[.76_.82)

_hanim

vs.

"Proteins"

within

uzban

are ma/ntalned

an_

between


Tan _nd Te.cs_

£_xl/foOd

In_

category

also e_.x_tn.e_ _.-e effect

expen&iture_

grOU_ k are sh_n

_im_

b_low

%_

of family

i_..ea=

for th_ period

form

1971

size on the

of

_he

following

(Table 12, p. 95).

Food

347.0

170.934

.361

.210

.667

9.772

Cmx_al

143,4

173.761

.044

.618

.236

33.552

16.862

.961

Pzotei_

I06,6

.160

.001"..886

o036

33.671

.945

-.50_

40.919

.962

Other Food

.337"

95_$

-3.364 _

.137

-.015,

_he Incl%u_i(m%O_ family slZe expenditure

_lasticity

_rrelati_

bet%_en

elasticity

{at the mean)

elamtJ_city; for

_

_

_lS

'

'and f_iiy

h_wever,

do no* appear

¢onsumpzion• of

"Protmln"

to be

value of the in_r_pt "Osreal" zesults

but no _fln£te are c_nsistent

vaziables

are included

reduces

be @xpecte_

size,

.967

th_

alum to the

-Partial

siEe

th_n the expenditure is the C_e#l

the reverse

sig_ificantly

related

Increases to the

or "Orhe_ Food",,

To avoid multlco111nearlty si_e oate_ozy,

as might

for food is less

in family size

for ee_h

in the equet/on

(a_ the mean)

_ndltures

.896

40,747

problems,

The results

shown

with inczeasing trend with

Tan and Tm_on in Table

family

for • "Protein"

s£_

9 Eeveal

£ncre_ing

for "Food" and

and "Other Food".

the data' abovewhere

in r.he equation.

ran zegresesions

both indepen_nt

_he


12

A more I_5

round

Canles•' wea'l.

recent

of

the

study

family

is

_tlmat_d

_tudy

wa_

_nc_e

noteworthy

for

co,ducked

four

and

in

_

Ccn].as

expand._.t_._e survey

the5

beth

incume

s_sampl_s_

se_xate

(1983)

and

using

of

the

price

the

NCSO.

elasticities

Ph$1ippines,

urban,

-.....

Manila

an_

other

rural,

seafoods,

and

leisure,

estimate-the

fr_

estimated_

these

e_timates

.and

Fish

Dairy

of

average

t_t and

in

rever_e

Products

Seafoods

o_

two

or

Manila•

pat_er_

_e_,fiood,,,, and

ThQ

consider

system

demand

demand used

to

the

function estimate

I0 presents

procedure

systems

utility

(LES),

the

and

roots,

estimation

Stona-Geaz_

then

Food

income and

function.

.parameters was

To-

of

a

•first

the

parameters

estimates

of

and

three

-- these

two

household.

areas

values highest

Consume_t

for

•when for for

9_tside.

food

we

being

of .

own

areas and

consider

and

for

Eqqs, In

much

Milk

m_ze

similar

and

greatly food:

within

_ea

are igenerally

higher

_ood

Outside.

own

Consumed

price

.f_o4s Cereals Egqs,

Cereals

income

the"staole is

Roots

%/_e staple Meat

items

patte:n

in•rural

exceDt

and

A decrease

items

The

elasticities

are. lowest

for Meat

OuEside.

the latter

is observed

low_st

elasticlties

highest

Consumed

items

Filipino

is, .we f_nd Other

of

leisure

Table

exp¢_cted

but • income

urban

th_ a_e

an_. Food

former

categories,

The

Other

consumptlon

the

th_

than

be

Products,

_educes tha_

and

set

fish

elastlcitie_,

'As might and

on

f_ncT..ion_.

incame

a

cereals_

dai_'y produGts,

outside.

expen_3itur'e

b_.sed

price

and

a_,_augm,nte_

model

food_ demand

groups:

milk

deriving,

resulting

food

consumed

regression

the

seven eggs,

food

.involves

includln_

for

meatland

mlscellaneous, eseentlally

and

Milk

end

elasticities, and

Fish

Dairy

"


13.

•A _c_d

_et

of

natlc_wi_

food consumption

comes

data

from

a

Y

Agrtco_t

_

1i000

f_

1970

£a_tl£es.

the.poo!e_

_alyaia

amd _ca(_," .bet_een

£_

-_d

-A r_mt of _e Be_mag_n level

_al

study

Ministry

Data

_

(1980).

_he

fOO_d _C_

in

,_S.

_thou_

16 pero_nt

percent pz_duc_s

tho to

and

howe,_r,

quarterly

sh_ re

for

increase

_here_ wi_

per sho_n

incom_

fc_

with in_ _.

groups. e_n_Ltures

c_au_ptica

the

cue

es_L_ates

survey

of

Tun •

wezw made.

data

su_y

for

1976

done bY

was

ho_shol_s

by Incx_m

the

avozag_

per

the

percent

of £n_m

what

we m:Lght

c_nsu_tion 13."

e3q>e_c.

Cereals

for all in_m_ for I_

Seafood

maintaining _su_pt/_n

fo_ m_at,

CalPita

£or

d6 1_r_ent

groups.

Per capita

of

_Lstlngulsh

in T_I_

from

is

analysis

tho

in

e_enditu_es

_e¢line

high

as

capita

Of food expenditures,

_n all Ins _

share in total

t_at

survey

capita

per

of the sample

avezag_

p+, ._nt' shnr_

_

consumption

c<_siat:e=t

a_

each

c_idnot

_egi_al

of household

34 p_z _mt

largest

data

We note

_.uco_s le_l

_Eo_,

of

grouped

in co_,

2h:L_ is

._ares by

12.

for

repOr_ a_nual

aitho_

_th

for the .large_ _ _

for _he next

of

the •pooled

Table

account

g_o_s

data,

areas,

_ ._-_es

food gro_

inco_

of

size

(1978)

The c/_a_ac_erls_ics

on e_enditu_e

_mjor

_.

,_. Agriculture's. food

e xp_,_ture

fq:_l_t

a_lple

in _

using

a_e su_mar_z-,'_

food

_

instead

m'_dCanZas.

u_:

5_e

1974-76

bou_olds

+..

1976.

Av_guel_ro,

data

_

to

eggs,

a_com1_s its share as well

and a.4zy

as


•14

Sennagen also gzO_n

ost:,tna_d

based on,1_lm p,llx'mt,_

varlouu, elsst:i.c:L_i.ea of the following

for

sm:)or food

.eq'_t:tcmsz

•,j ,- %, + ._, _yj + _,_Nj and

•wl_m

Zlj - weekly expenditure on. the :t.t._ food It.ea by

j'_ ho.,ehold QiJ '" .weekly - total

_nual

income

Nj

_

nu_s:c

of household

total

Ths results _..sho_i and z'ootcroJ_

Si_e elast/cit/ss Table 15. show_ based

mumed

¥j

•jth

_Is

quanld_ty

of

of jth

the

ith

food

item

household ment:_rs

in

the

household. in Table

14.

Income elasticities are lowest for

_u'la highest for red meat.

are highest for cereals

Calversel¥, household

and lowest

for red

mat.

elast/cleles computed separately for each income gzQup

on the following equations_

_J " %_.+ _lt _'_J + _± _"_oj

_'_"e_ +

and

where

Qi_ " boi..+bli In Yj + b2i in NlOj

NI0 _ = number of

members in

the

In b3£

NSj

_r.h household

age

10 years

Jth

age 9 years

88_d OVlr

Ngj

_ n_r

of n_mbers

and below

in the

household

-


15

5_e results

show that

eZas_tcity

for

(e_wm_ture

levels,

and is hi_her

g=ot_s .sd_f_.

£ncmm

..foodstuffs

_za

of household

0,44

for

f_

is

it

low level

across

inccml

_hat

genere/ly

to

of 0.02

at

in incom

.patterns

toward9 in_

high

h_gher

_

Size elastifro:

g_upS

10 years

acx_os income _.

higher priced

gro_$.

income

levels.

_g

and over declines

less

b_ food items,

low inc_o

and high inc_e

an increase

O, 38 for

a_bers

the indue

lonr

ino_e

age 10 years

group8

leve/s

ca_gozy,

_oes among lc_er

household

t.tVe!y

Food

:i4dle

fact

membars

low. £n ._

elastic£ty

nodal)

C_unp4Lion

thin

city

All

at t_

the

-_hls _ELghtreflect

the

wh£le

size

at a rela-

zn_n

Elamti_Ltlem vary

although

many estimates

are not

signi Et can_.

A final mayo= ,so_ce nutc£tion

survey_

IrmCitu_e

(FNRI).

canducCed

of household dace on consumption by the

The InstitUte

assess the nutritional stat_ measux_m_8

Food and Nutrition

ccnduc_

sur_ys

of the populatic_o

patterns is the

_esem:ch

ever_

five

years

Food c_eu_ption

are dune through precise we_t_Lng Of actual _e-da¥

food

intake at the household .leveland, .therefore,differ.from surveys asks of-x'_spon_Sm"_t.8 _ekly

_n$_q_tlon

HCSO end,.Ninlstryof _riculture been

done $o far.

_e

1982

round

2,880

_nd

co.red

XIZ. .... Relevant

data

1978 round households; fz_u .these

Two natiunal

that

by "_._'s_ "

by food items as _ne

surveys,

surveys

have

surveyed

2,800

households

while

both

surveys

excluded

Regions

surveys

to

..are.briefly

_ec_ibed

the I.X below.


16"

Table _JOr

16 shows

and specific

obaerva_Lons and

roots

and

to

Me.To Manila.

Likewise,

the exce_tlon

Inorease

with

consumption

areas.

increaslr_

patterns

by

differential

tastes

buildinq foods

Different/el occupation consumption

is h/ghest

professionals. poultry lowest

among

not only

increases

factors

of work performed_

with

among

These

enerqy

to

foods

differential

urbanlzation

of

as well as by items.

The

from

Table

and s_archs, roots

of specific

in Table

farm-related

_,ut also

urban

of

17.

decline

inc_ue.

consumption

occupations.

other

may be reflective

of cereal

per capita

to

generally

may be gleaned

with

ce:eals

¢onstmption

to other

food

by

of

of regulatlr_

for s_ecAfic

amon? professionals

farm-relat_

income

consu_pti0n

rural

capita

from rural

head are shown

In contrast

ks highest

per

patterns

consumption

_er capita

of; household

contrast

from

of urban_atlon.

on consumption

gene_ally

consm_tton

moves

associated

consumption Several

and ye._low vegetables

and preferences

We note _hat per capita

capita

level of urbanization

inc._e_blevels

Of income

leafy

food

res_tence.

one

increase

level

diffe_ent_al

effect

In

per capita

of green

per as

capita of

area

the

declines

generally

per

and by

F_rst:

Manila

foods

one-day

groups

generally

_tro

body-buildirlg

with

food

mean

may be _le.

starchy

uriah

the

18.

Per" capita

occupations

consumption

food stuffs

of fish,

differentials

requirements

cereal

end Zowest among meat

related

end

and

and housewlves/students These

by

may to

reflect the

type


.... 17.

The rel&t.iv_ arises

£zom the

'. '.p_

food_

item..

Data

mssidents while

_L1ne:ab_lity

f_.

residents

Table

prO_

u_am

19 tend

by the _ roots

starchy impIying

told:, green

of these items.

._zcenta_e

csn

_ly

purchase

St_ch

observation.

P,u:al

food consumption

is' _mly

of food

around

Eiuti_tles

_nerally

fish, .=mat and

leafy

and yellow

in income

_lasticLties for cereals,

%_getables

are negative

the. per c_ite

reduces

by level

food items,

with

eggs,

milk,

This may mean that rural lower incomss

incomes

increase

already

be u_%suming

the Income patterns

and

and _neraily

tend to increase

the_e

of income

increasing dried

consumption

i.e., bodM-building

lower

capita

c_nsu_ption

at higher

by per capita

elasticities

vitamin

households

urbanized

by _ncc_e

clams.

class

C-rich

with

Table

foods.

generally these

more when

households

levels.

income

pOSi_Ve.

of urbanization

levels o_ consu_tlon-for

the more items

arm

can be noted.

level

beans,

less uzbanlzed

their par

them would

elasticltles

of urbanization

4_cline

poultry,

6 peroant.

elasticities for specific food items

well as vLtam_n C-rich fOQdS, the el_sticitles elas_clties

shortagss and

less• them 10 percent

For most of the major

D_fferentlal

iten_

0nly

food

purch_

of their

are shown in Table 20.

that In©msases

foods.-.,

thi_

to

can both

extent

to support

produoQ

Estimates of inc_e zepor_d

residents

from 22 to 31 perosnt

=_si_mn_s

resi6ents

to a la_e

Im Metro Mamila, the

_$umB_

u_n

'c._h_t wh£1e rural

urb_ in

of

who

their may

21 shows

Different_al

can be noted.

for


18,

•,

Finally,

:m_ mal_=ed _tu deter=tnan_

valoe oz food _umd in_0

_aocatt_ J_cam

ot v£fe. elaltic_

pro_h_ed

at

'household

c_i_a of

home

in

_e

and 0,33

generally

household

and

_eena_a

tends to incre_e Before Prate

1974, .P_n_e tested _n1_Ic durable _t.hil

consumer-good_.

study

Specific

are food

Ith ¢o_ity price

the

_nerally

its

estt_e

of

oate_rieoo

Regressing

on z_al per

cxxm_<llties

8t_ic

briefly

food

per

reqttire_ents

Urbanization

series

note data for

functions Of _i_

real per

_bta/ned

(standard errors

_he _

the

study

by

personal period

1949

fo_ durable exercise

d_and-functi_s

capita total personal Paste

vh£1e

increases

children.

c_q_nents

A by-pro_uct

owDr

in

in value te_.

_e tim

or

k_ought

consm_pUon, and

per cap£ta

J_n increase

heavier

young

c0_u_£o.

of de_and

of the Ith commodity_

foe selected

the

section,

_d

cap£ta

13 yeaz_

than

_nly.

and

_e

whether

purchased

per

ag_r_ati_

Table 2_.

c_nsu_d

age

children

e_endit_

food

pe= ,_plta

_th

.u_db_Lizat:£oa_,

shown _

food

of

this

Us i_g

m

:educes

Per ca_ta

leaving

(1980).-.

c_as_.on

for

becetme

s£ze,

all

mm_ers

_U_tion

adults

_ssults

is 0, 25 for

size

increase

by mgres,.:Lng.U_.Svarlcb_

,c:_mlx;_Ltt.i.on. l_ld

household

of per capita l_SO

_o

and n_n-

of inte_st for

to

food

and

capita ex_nditure

c_

consumption

_d

real

the folI.c_ing coefficients in parenthesis).


!

R9_I _r

lq:)od**

0.990

(0.004)

-1,004

(0,008)

0,999

2.-23

(_-eale*

1.000

(0.0002)

-0.999

(0.003)

0.999

2.50

0.861

(0.051)

-0.174

(0.081)

0.924

1,21

md Dair_ Produots**

0.969

{0,068)

-0.923

(0.095)

0.901

1,93

and Daiz7 Products *

: 0.999

{0.001)

-0.994

(0.002)

0.951

(0,035)

_at,

Milk

I_at Pr_uc_ stud Eggs*

Fish

Fruits

VegeUlbles**

_d

*DouSle,

l_lt.h_ic,

..t_ansfors_d

**l_u_ls-logarithmic,

The InQome el_tÂŁcltles

_o

f-actors:

hated are

first,

by the behavior

rather

process

and

hlgh

at the present

these

sec=td#

country ties

to be ver_ high

With

l_er

ti_-_

a little

values

the elasticities

sxoe_tlon

awhile

whose

captures

than

is due to

11kely

dotal-

elasticities

StOCk; adJustnmnt the long-run

'J_ese results

elasticity

tell us that

of delr._d for foo_ may c_ntinue

as development price

oÂŁ moat,

must be interpr_d

2.16

higher

result

data-a_e

_ore _llcated

more con_letely.

less than unitary

the notable

series

This

income huusehol_

t_

for quite

are generally

level _tu_!es.

a_rr_gat_,

of

oboe/ned

Intolicit in his specification

for a _veloping

finds

the

0.969

equation.

Pants

festa household

(0.047)

1.74

_;uatim.

_U,f_erqmce

first

those (_tained

0.925

0.999

proceeds.

elasticity

me_t

products

as reflec_L_g

P_t_

for mo_t and eg_8.

aggregate

food i._ms Again

behavior.


_. on food

Tnua far _sus_e.tan

different study

unAts

cumulat_ to

and

Table

(1) _

may be

wlth

around

41fferent

during

fr_

(3) While

these

et_lies

use

aggz_gatton

At

is

of

difficult

Co

of food _sumpti_n

another..

Several

studles,

for•Moze

Mm_ila

(40-45).

by

levels

or

general in part

aided

than half

_hese

of total being

th_ peroentage

urban

differentials

areas

(48-52),

area differentials

in _ean Ino_e

of urbm_izatiun.

studies,

for househ_lds for household_

period8

lover in other

to total expenditures

the 1957-71

patterns

the 1957-71

cm cross-sectlon

32 percent

,As such

account

still

large part

from 57-69 percent

of

studies

majo=

._e

level

i_es,

against

(56-60),

in Metropolitan

(2) Based e_pendltures

food

regarding

during

in rural areas

a_soc/e_ed

techniques,

:my be ma_

exgenaltu_es

e_lained._n

PhillppÂŁnes.

_

23.

ew;mnAituEis

and lowest

of babe

hc_ever,

sum--tl_

highest

the

one set of estimates

observations,

houaehold

in

categories

_escribed

briefly

ost/mattan

oUr knowledge

validate

by the

F_rns

sets,

data

we have

the percentage

_o _ecllne With

armual

wi-tn annual

with

of food

increasing

incomes i_comas

inco-_

_n_er #500 of over

to

@10,000

period.

the proportlo_

e_:en_Ituz_s

_olL_e

expenditures

rises with

expenditures

in t_

of e_enditures

with increasing income.

income,

-In 1971,

inoc_.e category

c_ food to total the total

for exasple,

val, u_

of food

average

family

of less than _500 was nearly

five


21..

t_nes

_be v_uo

_o: t_o

_

c_go_

,,,.

69-pe,rcmRt

ehi_

-_ang_ng

_mtos.

_creMing

5ho effe_ fzcm the

_bani_.

of

¢_to

ot uzb_ati_

for

to

_erally

_e

_

I_mr

v_getables.

food

:h_c-om,

demand

_scee

and,

to Inc_eamlng in_

(quality)

elastic£_ .in

the

for _al

food,

food than

_or _z_a28,

_nco_/e_pen_ture :and 8_y_

fOOdS,. v:Lta_

then

is

la_is the

in

less the

total le_l

than u_b_

A_E_g _

a_sas

and other

u_LCy, are_.

staples C-z_.c_

are

m4, h£g_s=

foods,

for

fruits

md

(-0.258)

food Of F£11pt_os, p_c_s

strc_gly

food cAt_go_Les_

elast_c_t£es and for and highest

(-0.75?)

o_her generally

diff_rentla/s eXiSt: he_,_een Metropolitan

urban areas,

(6) Gm pz-_ce oez_als

elutic£_£es

2he ru_al-tud_andifferential noted in (4)above

dis_L_g_ish _hese two m'b_m areas

dal_

a

"

higher

t_pes_

p_e_building

fo:

w£th

rise much faster with &ncreasing

c_m o_er_iee.

v_Lum is

:g_era_ly

Manila

re,

_.

,, (l)

holds.

betw_e_

priGed

highe_

(4_ 2heii£nc_se/e_pend£tu_e :. '.

nay be _8eoctatad

_baniza_£on_gg_ega_

relatio_hip

4eaand for food .iS e_pe_d

md .its

in_

If uzbamlzetlon is _l_ed

changing

(P1,133

priced _ high p_icee _d better quality food due to

.can be t_$er_ed

and

end over

.

to 32 poraent,

fz'am_

PlO0000

uuggesting

need

for f_tu_e ana_yais.

are less than unity

fish for

and seafoods mat

a_d e_s

and food c_sua_d

d_f£e:ent_al

the

p_tt_z_s

ou_sl_

and eze l_est

(-0.382), (-0.821), (-0.926).

exLst by r_cal-u:bm

the staple _lk

and

_i_n aze_s.


22

• (7) s_ld totS1

size

exgendttu_s

el_c*_

is generally

iS _trOlled

for

az_und 0.210

(Tan a_d Tecson)

vben

or around 0'47 ...

Wh an household

J_uOomm is cuntzollsd

household

elasticity

p_ein

size foods.

£o _/g_r

_

age cQqposit/o_ mabe_s

do not: hm_

math im_=t:

_bmi_Qn

and

for

food.

Of survmlm

hOus_old.de_n_

_sisting Survey

for

1

of inforsat_on

c_ductad

Min£stry

obl:a:l.n baseline

_paU:ezns _ •the Hiais_y

the 1979 Suzv_y.of 1979 Sur,_y

of Ind_tzial

Table 24 presents

t_ole, nc_-_mn_rcial

_al

¢_du_-t,e_,:a_

Ene_jy

_d

consumed

ahildrea

scarcer _d

(1982)

_ is

on ener_

cc_su:p_lon

Energy I_nd, Co.serva_om

.ertes

1-977.

energy

_a=4_-.o_

thai:

the

since

.m,_._,. the

1979

Prac_%_s,

Dememd..We examine below

and the data

on household energy demand.

i_m

in 1977.- In tJ_

consumption

Phillppines as a

energy accounted foz 56 percent of total house-

f_el cunsu_wtio_ while _nm_rclal _as

¥omg

data on annual household ener_

(in BCE equivalent) by ener_

elasticity

Establishments Energy Demand,

from the. 1977 end: 1979 sur_eys

hold

.,m_, fuel

of Energy

.Consu_tto_

Co_rc/al

si_

are e_m

_oal

:Lnfonmttx_

,-,of,,_,_e_

Ener_

for,

¢/_an fOr

_--1

of the 1977 S_:_,'veyof _,*ba_/_al o£ Household

cez_als

_ood c_smqp_.

The majct,r so_zoe

In o_:dar _

In general

age 10 years or over,-

_o_ no_ahold

by _e

for

is allowed

m _rega1:s

td_ _.d

t_e

(Bannagen).

tend to be hi_r

fo_ _.sehold

Dataon

for

non-c_mercial

fuels accounted

energy

items

in

for t.he rest. greater

propoz_n


3

than

_

areas

nas-comssrcial f/rewood

(63 vs,

energy

48 perclnt)

il_m,

(60 percent),

_:m_zcial

energy

•Electricity

was

accounted

only

for

by kerosene

six.pe_cant

for

_ut

accounted

gasoline folluwed

for

be eupec_e_

(26 percent)and

hand,

_nsu_dw

accounted

might

98 percent

ch_coal

On the .other

pe=cent).

u

of

_o

_g by shells

(12

42 poro_t

of

(39 peroant),

t_

commercial

_a_JIv

c_nsu_ption.

Urban-rural expected.

Cn the thin

e_r_y tend

diffezentials a_ragu,

m:ba_

to use cQ_nercial energy

this

ccnsu_i_

income

shows

differential

shift

in consumption

rural

m

patterns

gene=ally

_s_s

proportic_

published

class

patten_

was of

in the rural areas.

data

as

note

than rural house-

o4ri the

with

energy

areas, income.

sources

The implication

1977

25.

Table by

incomn

to co_cial areas

S_'Sy.

or per capita

consmqptÂŁan

in the urban

incz'easing

to rise with

confuted.

from non-oo_msrcisl

inc_ases

range of

not

_mergy

In fact for rural

consumed

a wi_er

is expected

i.e., per household

rising i_es

areas.

energy

tho

in.formation, by

occur with

households

in greater

consumption

.:_ Unfortunately;

c_taln

cons_

3s

TOtal ener_ J,.nC_,

energy

(10.4 va. 4.1 BCE) and uzban houeeho1_

rural ho_holds

!52

that

in

d,:Ld_nOt:i" anergy

hoover, class.

energy

but not quite

the pzoport/on

tend

seems

_o

SO for

of' ncn-com_eEclal

This may be due to .the

are available

A

fact

in the urban

to be that a shift

in

than


pqpula_Lon would

from

rural

to

tend to-_ucrease

towar_

co_rclal

the Mini_zy

of Energy

tumately,

inste _a of using

_

wlth

aggregates analysis

sur_y

only Mmtro _tained

shown

energy,

L_y household

as well

&nccae

_ncze_s

as shift

fuel

_d

units

size_

ineomm

households,

msasu_ _fOr-

price.

the _alysts AS a result

,

%_ad the

26 is uninformatlve.

conducted

by the Ministry

and 12 key urban cansump_ion _d

activitle_

relating

'_a

of observaticm.

in Table

on energy

of e_ez_]

ran regresslons

individual

survey

Manila

data

by

correlates

household

as the

The 1979 _ezgy

covered

demand

the socioee_nomlc

cx_su_ptio_

zesTesslon

acc_anied

sour_s.

of ene_

regional

are#_

aggregate

_aezgy

In _terminlng ,_snsumptlon,

u_an

areas

of Ener_

of %he countzy.

of households

by socioeconomic

by

The

type of

class.

In.

tutÂŁon practice_.

Table 23 shows and by socloeconomic major

source

mainly

country

with

In an urban

Practically

incomes

so. in M_tro and wood

_ue to the _ubstitution

of

setting,

elec-trici_y

all househo14_ of households

in the other

Manila.

generally

by type of fuel

of households

The proportion

decreasing

bu_ not

using kerosene mainly

class.

of energy.

for lighting.

declines

the percentage

urban

The proportion

_eclines _hese

with

fuels

used

is 'a

use electricity, using areas

electricity of the

of households

increasing

in_,

_or electricit%,

(for


25

lighting) £ncom8

end LPG (for cc_k/ng).

as are the uee of candles

c_rclal

to aoma_zcial

sharper

in MJtro Manila

tion

Elo_rlc_ty

then in t_le

are the _aJor

tena4ng

fuels

for cocking,

with

from n_-

Incx_as

is

household

u_ed for lighting wood

rislng

areas.

of energy by

durables,

to use LPG more than wood

u_an

with

_he shift

with higher

other

sou_oes

i8 mainly

of electricity-dependent

hand,

and batteries.

f_l _associated

Table 28 shows the usual fu_c_clon.

The use of LPG Increases

.

end for the c_era-

and I_G, on the other

higher

_u_d conve_ely

income

huuseholds

for low income

households o

Finally,

Table

by 8oci,oec_nomlc incoae, • . ..

class°

wlth._sl_c_

electricity

for kerosene

to electricity households. other

increase

for wood, 98nerally

for lighting

energy

household

decllne

items,

with

areas

income

income

patterns.

of data that have yet to b_ fully

for

to a larger fuels.

a shift

by higher Metro

Metz_

incom Ha_ila

end

between

Manila

interesting

e_pirlcal

The surveys

prOVide

analyzed.

extent

The expendi-

indlcating

between

including

with

e_penditures

.from the comparison

have provided

cc_su_tion

to increase

and other

is the differentials

th_ surveys

fuel expendltuu_s

or to LPG for cooking

alone _nd all urban

energy

tend

with

charcoal

urban areas as n_ght be inferred

In sum,

_onthly

Total expenditures

to specific

Noteworthy

Met=o Man£1a

source

the average

end LPG generally

than do expenditures tures

29 shows

together.

data on a rich


Poiiciu

on

Food.

and Fuel

sect/_

briefly

_is thrust_

with

One

respect

fish,

tion.

of r_isite

poul_xy, p_k,

sufficiency

in _orn

expanded

At rational income

irrigation,

system

maintaining in which

reasonable

the p_blic

marketing

private

security

is palay/rlce.

active On

such as the Maeagana

•99, w_ch

as well

and ins titutlonal

as technical

programs

In addition

it maintains

procuxement

activities

providQs

technology

a floor

price

of the National

are currently

with have

for palay

stable

through

f_d

while

c_m_ity

side, credit

been

through

Food Authority

a

real

in the production

the production

support

achieve

in marketing

A major

farmers

for

of crop dlvermiflca-

of a more

part

the

self-

is to be attained

farmers

in

to ensure

To help

and in attaining

sector partlcipation

has taken

products groups,

(p. 47).

levels for consumez._.

sector

activities

population

Various

assures

l_licy

(as contained

on f_

and the use of modern

which

public

is to ',stimulate

emphaalm

and frulta,

side food

and to encourage

policy

supplies"

and livestock.

sein

in general.

deprived

food

vegetables

the marketing price

amP/or

the

1983-1987)

with _peclal

at-rlsk

of

of agricultural

Development,

of food production

the availability

smm

to food and energy

Philippine

_he nutzitio_ally

_ _te

d_cribes

of the obJoctlves

the Five-Year g_owth

Se_rit_,

and

programs, facilities

implemented. the active

(NFA).

On the


2_. L

commupt._m

e_e,.

..

p_i_e

ai_:l.l£ng

:

suffic_t

.:pr£c_ oeiling/:fo=

race .to enable

be£ngatta_ned.

co_s

of

ahd the-Juutntmmnce

..."

_' .." ,. • .

".

.

_eumnt

.

.

,

.p_.. Ace"policy-has

_.

obvAoumly rest on the

one hand.

other.

..

supply

and p_Aces

to

put greate_

stress

enez_/

began

poli_y

activities on. the

over

at reasonable

durAng tho on energy

..,

seo_£_...._£ty

An"supply

.:the .oount_y's.emergy

on _pOrcedo_l. •

c_merc_al

capability

to be ac_Leved An o_der

by-buildlBg

to reduce

and nuclear

p;_oJected,

dependence

for

energy generations

eXamPle that

to meet _future

the o_1 share

in total

energy _£iI fell.to 68 percent in 1988 from 91 percent £n

Corr_n_ly,

the

share of hydro,

geothermal

and nuclear

will Increase from 7 percent in £979 _o 20 percent in 1988 04inSs_zy Of Energy, 1979).

Research

Issuss_end:

This

paper

"energy consumption

up

..

l_yd_c_ilecl_i¢ Zt is

expected,

Xnve_u_n__ve bee-sCepp_up in on explora_on_. .

demands.

is

resources

....

g_,

1979.

_

supply

foo_(rice) s.c=ity

pricA,._

Of buffer-stock,

:_I,_.U_j._£n_£es ,:."

adequate

_h_hi_

The atJo_ess of this

upon the effoc_Lven0ss

last._ade,

by m'm

race

co inauce in=eW,_ _o_ccion a_ of,a

pr_cu .re _.,,_orm_i_

.

for

,,

price. _or _y

_s :s£nr.ained

has _@vi_.,ed pa_ter_s.

severe1

studies

The dlff£_l_y

on food

and boumehold

in c_mla_ing

oo_

knowledge base from the_e studies arlsee from several factors.


m.

First,

the

st_di_

are

based

on

different

daba

sources

which

dlffer • '

•in reli_%bilitT.

Se_l¥,

different

m_asures

of vat,

...

lee, units

of:

{.

..

analysis:, levels of aggression used

and analyClcal

by '••,ari0_investigators •, ._ . •

A&titiona.Lly, oould have more

£n

the case-of

been obtained

correct)

making •

analysis

have

comparisons

the energy

from

..

_.

dlfflcult. more

had more

prob1_ms,

data

frQm some of the major

consistent

_thodoloqy,

and Where

or categories.

issues

_,'_the' an_,Iysis of food

demand

and

by Cu_'Tie (1972), while

the studies

i ,_sed

likely

b_ P_rnla

in this pa_:_

directions

and indlcat_

(and

item

in the

sc_t_ces uslng

will

Meth_ologlesl

been conveniently by Taylor

remained

{1977).

unanswered

be useful

the _nswers

by

to review

_-xtent to which

are able, to provide

fu',,_reresearch

posslble,

questlons, on food, fuel

._tmight _e

have

for enexgy

(i983) still

review, _ in this paper.

same to _hese questions reviewed

those

su ,_ _antl,ve,_sp_;cts,- several

urbanization

adequate

data

level of disaggregation

.... Onmore

information

the first

using a s_m_n

smmarlzed

..

•.

appr_pri,_te _nd

related

_

'.

Is to re_. nalyae •,,.'..

more

data

have been

made.-__

In vi_.'w of these methodol_ical agenda

studies,

the basic

been

techniques

..

the studies

as well

as

the

take.

, example _ :abulations/graphs showing aggregate const_ptlon by. income levels are n( :t informative;, what is more meanlngly are tabulations/graphs sho_/.ng,per household or per capita energy consumption by income. ,Meteor _E, regressions could have been done using households as units of cbservatlons rather than regions. _/FO_


29.

1.

What am

B_opol£_:m, grc_s

u_a.

of

food

_d rur_-_cto_,

and fuel

_d

Wh£_ _sund

nc_-trad_ti_al

the stud£es

pat_,_s uss-g

for

_cpr£a_

SUZ_eys of fulily vh£ch 1982.

For

for

in_

has so faz

_d

earlier

housel_ld

food

o_ food ccns_pt_cn

furour

approaches, .demand analys£e

andexpenditu_e

not been

_d occ_ic_,

do provide fuel,

ma_l_cal

The smJc_ dataL,sources

by

in

_s.

desc_d_d

food

_s_on

and by _caN

_n each sector_ what £s the co_£tio_

t_ad£t_cn.al

dat_

the patterns

analyzed,

are

lnt_

analys£s

of the

sr_.ll

_equi_ed.

w£11 be the

FNI_. data

hOUSehOld fuel, the Ministry of Energy

_CSO

the ,1975 round

including

and the

ins£_r,s

for

1978

survey data

and for

1977 and 197.9will be used to estimate income and price elasticities by rural-u_b_n ¢ategorleSo

2.. What _

the food and household fu_l x_qulx_en.ts due to

t_banizati_n,likely to be in the next .I0or 20 years_ how in_or_mt will u__an, population

grmeth

t_

relative to urban e_a_.omic growth as

a determinant of increasing levels and changing composition

of demand_

in what wa_s Would the nature of demand change if u_b_n gr_wth _ates or _mcentrated

Answers e_4c-de_greqphic analyses

earlier

uzbanlzation were reduced?

to _ese

questions simulation

done by Kelley

require :_el., (1969).

the

estimation

incozporating Part

of

of the

an

types

the information

of sets


zmqlu_red

for

this

e=t_Lvity

(1)

abram;

_odel

that

are

_._e

_nex

What

ÂŁood,

are

f_el

functic_s;

m

between

_e

the

tO

the

4.

What

how might

to

these

address

above will

purposes.

items

:

(elast/cities) in

household

elast/citÂŁeS

among

nutritio_-Intensive

computed price

(1983).

_

from simulation

_d

t.radltional and non-tr_litAc_al

food items is C_las an_e_

_Ca_o_l

possibilities

submtitut/on

between

be

a p=e14-_na_

_sumptian

only study which

d_tain

will

policy

s_titu_on

(e.g.,

and fuel types

for

and other

what

foods and

the

that

A _scribes

may be useful

3. a_ng

model

Clearly,

_mand various

taste-intensAve

furls)?

elasticities

of specific

this area of study

above questlons.

food

Activity

18 needed

(I) described

questions.

the current

marketing

they be made more efficient

and dist.rlbution sys%4_ms and

and effective

in meeting

future

x_qui remants?

The activities of pa/ay

_d

Abenina,

N.A.

marketing

an

private

stocklng

and R.C.

of rice have

of palay/rlce

night provide

of other types

efficient.

Food Au_ority been

insights

in the procurement

described

Tan ch an co /_ 1984), A more

distzibutlon

sector

distribution more

buffer

of the National

in-depth

including

recently study

of food and household

of the

the role of the

into how the marketing fuel c_

by

and

be ma_


31-

5. to

food

To ubat and _usl

ex_t

do plans,

pzov£s£on

poli_Les, _be

end prog_ns

zespond

to

changing

studies

o_ va_ous

rolat.tng

req_r---nts

o_

uz_mizatLon? "i

Yhis

"

or £nd£rec_y

ensuring

for food

_Iditkonally, £o_ agr£cult_r_L

i_p_ct

affec_

_Lan. _:_ va:r/.ol,i and rice)

'

z_qui_es

_ood

cat.egori_S exaqple (;r'£_)

gener_ _i_c8

supply

as well

of ho_l_l_.

Pz'lc.lng

mW be _ur_her _cuzit:y

in

nU_conoa_c vis-a-vis

iupa¢_ 0_ fOOd pz_du_t.to_ this

add fuel

itself.

z_,ga._d would be • _eful

poli_Les

uzban

and ruz'al

induetr£al _ referenoe.

studies

d£stribu-

po_L_.ies

for

policies

directly

as their

evaIuatod

both

that

their

(£oZ pa_,_

£n_act

in

areas.

_ffect_ng

factor

Inputs _i_t of David

have (1983)

prices sonm in


Table LEVEL AND _EM_O

Urbanization .

Year level _'-_

'

f

_

a/

OF U_I_IIZATION AND _ AND RURAL PHI LCPPII_BS, 1903-80

Urbm

........ _e.pb/ '

|

-

1903

13.1

-

1918

12.6

-0.32

1939

21.6

1948

Number. (thousands) fTf

I

----

1

I

!

I

Populati_

Rural _-

,

Percent _nual Growth Rata

Nulber (thousanckJ),

Pc_ulat£on _

Percent GroWth

_mnual Rate

--

r

1 #000.2

POPOLATIONs

-

6 o635.2

-

1,294.2

1.64

9,020.1

1.96

3.36

3,450.7

5.02

12,549.6

1.66

2 7.0

3.09

5 ,i83.7

4.25

14,050.5

1.16

1960

2 7.8

1.28

8,072.5

3.98

19,015.2

2.70

1970

32.9

I.46

12,068.8

4.02•

24,615.7

2.56

1975

33.4

1.46 -_/

14,046.5

3.76 _/

28,024.1

2.30 -q/

1980

37.3

3.54

17,940.7

5.02

30,157,7

1.48

--a/Percent in uzban places. _he 1963 urban d_flnitlon was used foe censuses definition was applied to 1975 and 1980 censuses, If the 1970 definition level of urbanization would be 31.8 percent instead of 32.9 percent.

prior to 1975. _he 1970 £o used for 1970, the

growth difference.

"

--C/Theinitial 1970 urban and rural populations 11,677.8 and 25,006.7, respectively.

used are based c_I the 1970 de flnlt/on.

b/Urb_-rural

Sources:

Pem£a, E.M. and C.W. Paderanga, a'.d 4.2, pp. 66"6"7).

Jr. (19EO; Table I, p. 6) and Raymundo,

_ese

are

C. (1983; Tables

4.1

e


33

Table INDEX

_

URBAN

Area _

'1(

f.

|lJ

PRIMACY_

!903 |_u'mmlr

mmm .

mn

2 PHILIPPINES,

1939

1960

n

1903-1980

1970

..........

1975 ,

_ .

1980 _ ,L.

/m

Set, A-a/ Small

Metropolitan

Area

Large

Metropolitan

Area

-

Yetzopol/tan

Area Az_a

in

i

4.03

3.57

4.27

4.26

4.43

4.40

-

4, 91

5.31

5.76

5.94

-

-

3.3

3.3

3.2

3.0

-

-

-

4.2

4.3

4.1

__

Small

Large MetropoLit_

Note:

_e small metropolitan area of Manila c_risee the four Chartered cities of Manila, Calooc_n, Pasay and Quezon and the four munlcipalities of Makati, Mandaluyong, Nevotas, and San J_an. _e !erie metropolitan area includes the stall MtrcS_litan area as well as nine other municipalities: Malabon, Marikine# Las Pi_, Para_aque, Pateros, Paslg, Tegulg, Nunti_l_&_ a_ Valenzue Is.

_/The next three la_st cities Cebu, Zloilo and B_colod.

the index

are

b-/_he next three largest clties"used in the computation of the index Cebu_ Dsvao and Basilan for 19601 Cebu, Davao and Iloilo for 1970_ Davaot Cibu and Zam_oanga for 1975 and 1980.

are and

Source_

Pernla, E.M. Set A _dated (1983; Table

used

in the computatlonof

and Paderanga , C.W째 Jr. (1980, Table 2, p. 7) foxto 1980 by present authors, and Raymundo, C. 4.5, p. 70) for Set B.


Table

3

REGIONAL PERCENT SHARE C_ TOTAL UR3ANIZATION LEVELS N_D TEI_O5 =

Percent of Total U_an Population

Region

1970

1975

Phi lippines

1_vel of Urbanization

I

Tempo

r | m,

1980 r_

URBAN POPULATION RND PHILIPPINES, 1970-1980

1,.r

1970

.........

1975

__

LI

1980

1970-75

......

-

1975-80

......

100.0

I00.0

100.0

31.8

33.4

37,3

1.5

3.5

_Hstro_ol£tan Man£ la

34.7

35.4

33.0

I00,0

I00,0

100,0

4.6

3.6

More Urbanized

40.3

42.+1

44.0

7.3 2

30 ,_.__0 3_4+9

2.7

4.7

9.5 1_.6 7.3 5.1 6.+8

10o2 31.8 7.0 5.2 _:` 7.9

11.2 12,6 6_8 6.2 7.2

30.1 29+8 27.6 26.6 21.5

33.9 31.8 2B.9 26.7 26.7

41.8 36.9 32.0 33+5 28.3

3,6 2.0 1,3 0.1 5.9

?,0 4.7 3.0 6.9 1.7

17.8

16.4

16.4

19+6

20.2

2 3.3

0.7

3.8

5.1 5.0 4. i 3.6

4.9 4.2 3.5 3.8

4.7 4.2 3.4 4.1

19.4 19.2 19.4 20.9

2!.0 18.4 18.7 23.2

23.8 21,5 21.8 26.6

2.1 -I.0 -0.9 2.8

3.2 3.9 3.9 3.8

7.2

6.3

6.7

15.0

14.6

17.1

-0.6

4.0

2.1 '2.6 2.5

1.8 2.2 2.3

1.9 2.4 2.4

14. I 15.6 14.9

13.4 14.9 15.5

15.5 17.0 18.8

-i. 4 -1.4 0.9

3.6 3.4 4.9

Central Luzun Southern Tagalog Central Vis ayas Southe n_ Min danao Western Vis ayas Less Urbanized Ilocos Blcol Eastern Visayas Northern Mindanao Rural Cagayan Western Central II_

--

_

i -

Source:

Valley Mindan ao Mlndanao --

i

Raymmldo,

C.

.....

r

i i

(1983; Table 4.7, p. 72) from varlous

I

census

..............

reports. _a


Table

4

REGIONAL IWDIC_TORS OF UI_ANIZ_ION RND EC_MIC D_e__t _PHILIPPINES

_t_ I_vel of Urbantzat_

Region

..Tempo

1980 Phi 1/ppines He__tropoIit.an __re

37.3 z4anila

Urbanized Oentral nt_on Southern Tagalog Oentral VIS ayas Southern Mlndaelao Western Viswtas

t,, b i,.ed 1locos Bicol Easter_ Northern

Visayas Mindanao

RU.r.al Cagayan Western C_nt ral

Valley Hindanao Mindan ao

3.5

C.

r

in Non-Primary ._.,, &cttvittes , ,,

1980

1975

19 78

100.0

4,076

49.9

3. 6

33.____0

.7.,056

98.5

.3.4.9:

4.7

44._.._0

_3,808

4806

41.8 36.9 32.0 33.5 28.3

7.0 4.7 3.0 6.9 1.7

11.2 12.6 6.8 6.2 7.2

3,847 3,922 3,361 4,210 3,753

61.4 52.8 43.6 39.5 41.8

.2.3.3

3.8

16. 4

23.8 21.5 21.8 26.6

3.2 3.9 3.9 3.8

4.7 4.2 3.4 4.1

.17.1

4,.0, •

6._..7.7

3, ._)..4

33..0

15.5 17.0 18.8

3.6 3.4 4.9

1.9 2.4 2.4

3,683 3,721 4,020

28. 8 33.0 37.5

-I

Raymundo,

Share'

Share of _io_sm_ Fm£1y [Pesos)

100.0

!

Source,

1975- 80

I_ban

Annual Incom

(1983;

3p. 3,455 3,194 3,443 3,801

....

Table

4.8,

p.

73)

from various

oensus

pdbltcaLions.

41.6 40.7 30.2 38.6


Table 5 _E

ROX_. G_ SELECTED VARZABLES XN ZNF_NCXNG PROPORTION OF TOTAL EXPENDXTURE ON PO_

Co__onent _md

of Projections

rood .............

"

........

-

.

for

_HE

Allocation Ra_io

Col. (3)/

_;o.food

1/( 1+2)

(2),

(3)

12,715

35.80

.665

123,083 16,866

i01,477 -16,866

54.81 -

1.018 -

24,847

35,212

41.37

.769

57.90

1.076

56.46

1.049.

. (!)

.

53.82 (4) b'_'/

E_,diture G..c3w_h (1/2 _rcent per year, _tributed to the .urban and ru.: _1 8ecto_ equally) _mographlc

'

7,090

rac_ _r_

Total _qgul_ion Crowth Fatally Size _ov_h Rural-Urb_n _:igr_tlon {i percent _,_,r y_a_'_ Total D_mographic

164,796

Total Demand

17!,88G

--a/T_latabla i_ i.._ed

c_ _

119,823 J32,538

linear 'demand £_ctioas.

b/The average Phi !ip_ine expenditur_ an food in 1961 w_ 53.82 _erca_. If _olu_ "3) is gr_a_er (la_s) .thz'_n _his ratio (i.e., column(4) is gz_ _._r (less) __h_ _uity), t./_en the In.leafed con_onent is o_e_;:tlng to shift relatLve c_m_r.d t_ard (away from) food produc_. .

Source:

Kelley,

A.C

(1969; Table

l_I, p.

122)_


Table PERCENT

Expenditure Item

Fuel, Light & Water

National Manila,

DISTRIBUTION (F FAMIIX EXPENDITURES FOR FOOD AND FI_Le LIGHT AND WATER BY AREA,_ PHILIPPINES, 1961-1975

:-_."_o

Food

Source:

6

Philippines

1961

5._._

59.5

48.4

42, 3

52.3

1965

53.7

60.6

46.1

40.4

50.5

1971

53.7

59.3

47.1

41.5

49,,6

"I_75

52,2

56.2

. 46.4

45.4

47, 9

1961

4.0

4.1

3.9

3.8

4.0

1965

3.6

3.7

3.6

3.6

3.5

1971

3.6

3.6

3.6

3.9

3.5

1975

4.6

4.5

4.7

4.7

4.7

Economic and Development 1983_ Table 2.9.

Rural

Authority,

_;.!

-_rb_

Manila Only

Year

1983 Philippine

Statistical

Other

Urbam

Yearbook,

w -4


Table

7

AVERAGE FAMILY E_ENDITU_ES FOR FO_ BY URBRg.-_ AREA" AND BY SELECTED ZNCOME _Sz PHILIPPII_S, 1957-71

Area

-,_ -1 Under 500 •

ph.l.11ppl nes

195 7

1965 1971

1957 1961 1965 1971

Rural

1957 1961 1965 1971

i I

T_

_

iI

I

i

Selected , ...... 1500-1999

2 35 #

1961

Urban

_

_

754

Souroez

Categories

3000-3999

5000-5999

1"0000-149 99

1156

2138

-

(56.5) 475 (65.6) 775 (67.2) 1133 (69.3)

(48.5) 1035 (56.7) 1365 (61.0} 1833 (62. I)

"(38.4) 1488 (46.2) 2020 (54.0) 2 462 (57. I)

(26. O) 2219 (48.2) 2655 (48.2) 3165 (51.8)

225 (51.2} 469

551 (45.4) 1095

662 {36.3) 2682

874 (28_ 4) 2326

3573

(66. I) 840 (61.6) n.a.

(55.9) 1369 (53, 2} n.a.

(49.9} 1949 (49.6) n.a.

(45.9) 2 556 (45.9} n* a.

(32.0) 42.70 {29.2) n.a.

2 34 (64.6) 477 (66.5) 764 (66.7) n.a.

750 (52.7} cJgO (57.5) 1330 (59.5) n.a.

1971 (44. I) 1380 (52.0) 1929 (56.6} n.a.

1358 (30.8) 1989 (48.2) 2321 (50.4} n.a.

3367 (39.5) 3599 (41.1) n, a.

i

i i

i

i

r

ii-

a/ The first number is the average e_diture parenthesis below is the percent share of

N

Income

-

y. 355 7 •(32.4) 4758 (32.3} 5015 " (43.4}

i

_

in current pesos whlle the number in food expenditures to total expenditures,

Tan, E. and G. Tecson (1974_ Table 1, pp. 49-50) from NCSO expenditures survey data for various years.

family income and

.

w


39

Table REGRESSX_4 BY

Az_o/Food il

_RBAN-RURAL

ESTIMATES

ENGEL

b , ......

_S

FOR

I_ILIPPINES,

a

............

.Ph!lippi_, _

OF

FAMILIES:

Year

Itom

|l |

8

,

1957-1971

t

,

E .

._

_2 _

FOOd

1957 1961 1965 1971

Cereals

1957 1961 1965 1971

Proteln

Food

.734 ,748 .715 .727

32. 044 42. 142 35 o 5 79 40.327

.813 •819 .775 .785

.988 .994 .992 .992

.458 .387 .362

20.046 13.572 12. 332

.593 * 484 •452

.975 •949 .926

.888 .916 ,873

34.33 4 2 7.5 70 26. 313

io 153 i. 162 I. 111

,991 .987 .982

....... 1,086 3. 374 I. 62 7

1957 1961 1965 1971

Other

.533 .568 I. 692 .735

..... -. 409 J I. 045 -. 325

1957

.....

1961

.059

.768

1.2.735

.978

.941

1965 1971

-. 782 -.624

.857 .966

11, 981 32.420

1_ 126 1.211

• 935 .988

Food

1957 1961 1965 1971

.654 .573 1. 749 2°550

.675 .747 o 701 .250

17. 166 33.052 25.631 1.798

.757 .818 .768 .264

.960 .990 .985 .212

Cereals

1957 1961

-488

21.013

. .637

_ .977

.428 .098

17.357 I. 111

,542 o 121

.968 .093

.717 .899 .313

13.099 24.368 2.007

.919 1. 128 .387

.944 .983 .251

_ Urban:

1965 1971 Protein

1957 1961 1965 1971

Other

Food

1957

1961 1965 ....

i.

1971

L. ........

.... .963 2.980 2.606 ..... ,217 -. 839 i. 806 -

....

-.373 -1.012

_ 887 .899

2 7.866 27,773

I. 137 1.158

.987 ,987

i. 893

.310

i. 820

.374

° 216


. .4_0..

T_

I

I lair

I

.......

_--'

" "

--

mu:_ at:

Oezea18 ..

•p_

.376 .377 3.439 • .

.786 .808 .511

1957 1961 1965 1971

.... .883 3.036

,528 O. 441

19s7

OtheZ ]rOOd

Source:

1957 1961 1965 1971

10,530 56.269 2. 473 '. •

.8G7 .879 .541

.gf_" . ,966 'w 379

22.081 4.064

o671 .535

.979 .623

51. 478 4. 985

1.273 1. 001

°996 . 713

18. Ol 7 4. 343

1.2 78 .944

.970 .653

1961 1965 1971

,o7!7 .005

1957

......

I961 }._5 2_971

-'. 736 . 344

.981 . 795

.991 . .728

Tan, E. md O' _c.son (1%74j Table 8, pp. 88-90). Food oa%,egoz'y "Prot_In" ._cl_.des fish, Mat, eggs, _Ik, ef.Oo t while ca_ +'Other F_I" _u_s _, _getable_; and mlscell_eous.


4_

Table

9

.l_Gl_J_ZObl PARAMBTERS CF C¢X_S_TION EXPEMDITURES RC,C0m_ING _O FAMILY SIZE AND EXI_ENDITURE ITEM PHILIPPINES, 1971

.....

c.t, "11! f _lr

_lr

i

a

Food

Coreal

Protein

Other Food

,rl"i

r 11 •

|

i

FSlze ,y

a

b

3-4

530.75

.42

.99

5-6

740.82

. 39 "

.98

7":8

767.40

• 43

, 99

9-10

999.69

o40

.98

3-4

440.07

.06

.94

5-6

614.99

.05

,89

7-8

880.93

.04

.46

9-i0

951.10

.05

.88

3-4

67,24

,18 •

.98

5-6

48.27

.18

.98

7-8

-41.86

: .20

.99

9-10

-4.65

o19

°98

3-4

2.9.41

.16

,99

5"-6

77. !?

.14

.99

-23 _99

.16

. 99

.15

.98

7-8 9-10

Souroe¢

Tan, E. amd G. Tecson

20.4(,

(1974; Table

i0, p. 92).


Table PRICE

Phi llpp ..... Own Price

Co_od/ty

Cereals

AND IN_

ines Income

I0

ELASTICITIES:

Urban -Own Prioe

PHILIPPINES,

•-Incore

1965

Manlla -- ....... Own Price Inooms

Ruxal Own Price

Inuome

-0,258

O. 296

-'0.317

O. 336

-0.269

O, 362

-0,479

O. 429

-0. 382

0. 483

-0,425

0.479

-0' 331

0,469

-0.333

O. 707

-0.821

1.083

-0.890

1.042

-0.648

0.946

" -0,578

-0. 757

0. 999

'0..578

0.684.

-0.457

0.673

-0.606

i. 271

Roots

-0. 508

0. 658

-0.617

0.717

-0.490

0. 729

-0. 301

O. 692

M/s ce llaneous

-0. 503

0.651

-0.552

0.633

-0, 409

0. 595

-0. 337

0. 744

-0. 926

i. 242

-0. 896

1.050

-0.531

0.786

-0.528

1.207

Fish

and Other

Sea Foods Heat

and Eggs

l,_Ik

and Dairy

Products

Food

1.151

Consumed

Outsi_e

Source:

Canlas,

D.

(1983; T_Io

10, p. 18).


Table

11

INCCME-QUANTITY E_STI_qTIES FOR SELECTED FOOD ITEm, 11 SURVEYS, MAY-JibE 19?4_DECEMBER 1976r PHIL_IPPINES

, 4""

Fuod Item

_

Food

Elasticity

Ce re a_____.._

L ,I-- ___L

- ,

Item

Eluticity

P rote in

Rice and products

0.15

Pork

Rice

0_ 13

Beef

O. 80 a_d carabeef

0.86

C_r. and products

-0.55

All poultry

Corn

,-0.59

All eggs

0.72 •

All dairy products

0.68

wheat products

0_63

All Other Food 0.35

All leafy amd yellc_ _gstables

0.26

All fru/t veqetables

0.35

All roots, bulbs and tubers

Source-

Avigueterc,

and smoked

-0.08

E_F., et

all. (19781 Table

0.78

fresh a_d f_ozen

Dried

All fruits

m_at

24, pp. 19-21).

fish

fish

0.37 0.13


4_

Table CiARACTERISTICS

Or

SAMPLE

%Z_VEL, MENISTKY CONSU_TiON

12 SOUSE_0LD

BY

OF AGg/CULTG_E SURVEY, 1976

INCOME

FOOD

Income Charaeteris

&%_ragm

household

incomm

_verage

household

size

_verage

per

kverage

food

kverage

per

capita

?ercent Sumber

of of

income

oapita

Miadle

Hi

250_

5802

15019

5.9

6.4

7.2

424

906

2086

72

97

147

12

15

20

449

87

51

_/

1102

955

891

(%)

37

32

30

(P/yr.) (_/wk.)

food

(P/wk.)

income samDled

_istributi_n

Low (_/yr.)

expenditure

expenditure

spent

on

food

houmehol_s

of ho%useholds

*/

--Only 3 of the 4 survuys analysis of consun_tion Households with extreme excluded

SOI_CQ- _

_vel

tic

from

the

Bennagen,

for 1976 were included in patte_s by inco1_ level. ±nco_ values were also

_nalysis

M._.

(1980;

{author°s

Table

original

15,

p.

94).

the

note).


45"

T_le. EXPENDITURE

S_S AND OF MAJOR TOOD

1.3

AVERAGE GROte3

PEI_ CAPIT_ CONSUM_TICN BY INCOME, _'EL:

PHILIPP_NK5,

1976

income Major

Food

1_w

Cer_&Is RBd

45.9

mmat

Poultry

_at

Zggm Dairy

Level

Item

produc_

Seafoods

Middle

High

_134.0) a/

41.1

(134.1)

33.7

(141.6)

9.5

(6.2)

12.6

(9.7)

17.6

(16.6)

4.0

(2째6)

4.3

(3.2)

5.4

(5.8)

2.9

(1.8)

3_7

(3.2)

4.0

(5.1)

4.7

(5.3)

5.6

(7.3)

6.9

(!0. i)

16.4

(22.0)

16,4

(25.2)

16.6

(_8,9)

Fruits

5.9

(42.3)

5.6

(41.4)

6.2

(52.7)

Vegetables

7.3

(32.6)

7.8

(36.6)

7.1

(41.9)

3. S

(2.0,3)

2.8

(16.2)

2.6

(17,3)

(267.0)

i00.0

Rootcrop_,

All

bulbs

& tubers

Poods

Source:

i00,0

E_.nnmgen,

a--/The first total annuai

food par

M.E.

(1980;

n_/s%ber is the

(277.1)

100.0

(320,0)

Tables

percent

share

of

the

i_

expenditures, whil_ the number in parenthesis capita consumption in k_los per year.

food is

item. to

the

average


Tabla

14

ESTIMATED EXPENDITU_ AND Q_L%NT2'LY ELASTICITIE_ FOR MAJOR FO(_ GROUPS: PHILIPPINES, 1976

....................... -.... Major Food

Groups

Znc_ E_en_iture Mode i

F.las d__ _

......

_ Mode I

Household Size .L J Elasticity//

(_reals

.13

.05

.70

Red meat

.52

.44

o18

,. 19

.16

.26

Eggs

.32 ,

o32

.34

Dairy products

.39

o24

.24

Seafood_

.33

.19

.44

Fruits

.40

.16

o41

Va_tab1_m

.30

.17

.40

-.21

.47

.12

.47

Poultry

mlat

Rmotcr_ps,

.

bulbs

& tube_

Total Food

_/Based

souroe:

.112 ,33

_n expenditure

m_4el.

Benna_ne M.E. (1980_ Table Table 13, p. 87).

9, ._.

66-67_

and


Table

15

ESTIMATED EXPENDITURE, QUANTITY ELASTICITIES FOR MAJOR POOD LE_SL_

AND HOt_EHOLD SIZE GROUPS BY INCO_

PHILIPPINES,

1976

In=ome Major

Food

Group/Ela_ticity

Level

...... _ow

_Lddle

Sigh

Coreals E_ndlt_ Quality

.04* -. 01 •

,30 .19

.12 .05*

.61 .03

.60 .03

.53 .03

.08* -. 01 *

.64 .65

'. 55 .43

.43 -

.27 -

.19 .

Expendlture Quantity NIO

.01" .05 t .22

.20* .24* .16

.21 o 21 .25

N9

.01 *

.02

Expenditure Quantity NIO

.2 8 .2 7 .26

.46 .45 .36

o 34 .39 °28

-

-

.02

.19 .20 -. 07 *

.36 .38 -

..48 .20 .06*

N9

.03

.03

•04

Expenditure

.21

.36

.32

Qu_,tity NI0 N9

.14 .39 .01"

.23* .36 -

.02* .45 .01"

N10 N9 Red

Meat Expenditure QuBnti_ NI0 N9

Poult

Eggs

N9 Dairy

Products Expendit Qu_tity NI0

ure

Seafood


48

Table I

[

(

_jor

_lII

)

I

) Ill II[I I

15

(_t.)

I

..

In cg_m_ Le_l

_oc_ _oup/_l_t_¢ity

Low

_li_le

E:_nendlture _tLtY

.14 .- *

_ 36 .17"

.41 .20

.o2

.oi*

.oi*

,z=pe._t.re ,;;ma.,.t i._

._ .].o

.49 .26

.27 .1.3

NIO N9

.34 .01"

.36 .01"

.37 ,02

-. 13

.12.

.32

-. 51 • 25 .02

-. 39* • 35 ,02

.37 .47 .03

.44 .22 .40 .02

.34 • 14 •38 .02

H_igh

]n'_ta

'V_ge11:_1:,lu •

jr

Ro_cropa,

.bulbs & tubera

Expendlt ure ,: Quantity 1110 N9 ':

rood Expenditu_ Quant/t7 N10 N9

_

.14 .01.44 •02

"_'_loC sl_ifican-,: at 10 percent

Source=

Benna_,

M.C._ (1980;

level.

T_Lble_ 21 and 22).


Table _m_

--

_

_'DA_ PRa C_ZTA FOOD C_SO_TIOH• PHILIPPINES, 1978 AND 1982

r-

rlr

pines

Orb an

Enercjy Foods • Cereals-& Cereal Products Starchy Roots & Tubers Sugars & Syrw_s Fats & 0tls .

367 37 27 13

323 20 • 43 20

Bo_-Bui ldinq Foods Fish, Meat & Poultry Eggs Milk & Milk Products Dried Beans, Nuts & •Seeds

133 "8 33 •8

_gul atin_ Foods Green Leafy & Yellow Vege tables Vitamin G-Ri_ Foods Other Fruits & Vegetables MLscellaneous

Souroe:

Food

and Nutrltlon

16 (_y)=

.....

Mani I a

_ ....

Urban

RuraX

__ _irmS.

-

-

390: 46 19 10

356 42 22 14

320 19 28 18

28? 18 30 23

341 20 27 16

168 14 55 9

-

-

116 5 .22 8

154 9 44 I0

183 14 64 11

179 14 83 14

184 14 53 9

140 ? . 34 9

34 47 168

28 54. 174

-

-

38 44 166

3? 36 159

26 47 183

19 53 210

30 44 167

' 42 31 148

' 2t

23

-

-

19.

32

37

31

ll_d_,el'_

Mmti la

'

U_an

'l_t_tl.

..

Research

Institute

(1981, 1983).

374 54 20 " 11

3_,


Table 17

PHILIPPINES,

I978_ _lrD 1982

(g/day)

f • "_'.

Food Gro_s ............ Cereals

A

& Cereal Products

368

380

54 13

34 18

371 35 26

360 40 37

355 22 47

8

9

12

15

21

[ 2s ]

86 '. 117 3 4

132 ?

151 12

175 17

Starchy Roots & Tubers Sugar Syncs rats &&Oils

Fish, Meat Eggs

& Poult_

Milk & Milk Products Dried Beans, Green

Leofy

Misoellaneous r

I

368 32 13 •

366. 53 18

7

9

1o

iI

[ 223 _ | 22 ]

73 I

99 4

126 5

153 7

Income _

371 ..362 44.. 24 20 23

15

G_t_ps_a/" _' .C

352 34

337 36

25 15

33 21

224 18

1609

157 !4

18

30

51

59

[

79 ]

I0

14

18

31

43

61

6

7

.8

8

13

[

II ]

5

9

8

I0

I0

37

37

36

30

[

30 ]

59

[ 83 ] [ 209 ]

11 122

23 153

27 125

33 131

39 171

40 185

59 211

17

29

27

32

32

33

40

9_

9

13

33 156

50 173

60 187

79 190

13

17

22

26

20

[

24 ]

41.

43

35

35

33

27

A = less than P250; B - P250-499; C : _500-999; D - P1,000-1,499; E - P1,500-1,999 F = _2 ,000-2 ,999; G = _3,000

--b/Incom8 group _2,000 Food

32

24 139

|

_a/Income groups:

Sourue:

343 95 13

_mual.Per Capita _ • C _

& Yellow

Vegetables

r_k

[346 ]_ [ 17 ] [ 58 ]

A.

12

Nuts & Seeds

Vitamin C-Rich Foods Other Fruits & Vegetables

7 \

Annual Per Capita Income Groups_ I S C D .. E F. G

and over.

and over.

and Nutrition

Researoh Institute

(1981_ 1983).

%. o


Table _AN

0_E-D_¥

(g/day) BY OC_P_TIOM'(_F 1978

PER CAPITA FOOD C_L_TION HOUSEHOLD HEAD: ..... PHI LIPPI_,

• Professional Technical, Entrepreneurs,

Food Groups

18

Skilled

of

.Occ_ation

Fa_la Cwners amd

Farm Workers

Mana_er__-

Household

Fisherm_n - (mostly small & hired)

Head Other Occupatiom (m_stly

Housewives, Students

skilled}

Retired

Occupation

Eegrg_ Foods Cereal_

_ Cereal

.Product_

321

4i5

392

369

343

- 346

_69

$tarc__y _ots & Tuber,g Sugar & Syrups .

24 47

36 .23

48 16

47 15

38 30

17 45

28 28

Fats

22

21

]5

i_

_o

45

2e.

6 oil_

B__. ,ySuildin_ r_ds • ---Fish, Wea't -&-Po_t_l Eg_ Milk & .Milk Product_ Dried Bea_s, Suts & Seeds

Green Leafy &Yellow Vegetables Vitamin C-Rid_ Foods Other Fruits _ Veqetabie.s Miscel

Imneous f , ,

. _"_" 17 60 ii

-6 26 8

3 12 7

29 63 196

38 48 176

40 37 156

22

23

21

Source:

Food

and Nutrition

Institute

, _

.

.

3 14 .4

9 43 8

17 55 ii

32 _ 121

32 46 170

32 75 199

33 45 133

16

19

21

15

31 9_

.=

[1981)r. ..(

"_


Table

19

MEAN OHE-DAY PER CAPITa PESO VAI_IE OF F_D FROM ALL S._F_, BOtK_T A_D NC_ B_JG_T SY URDANiZA_O_, PBILIPPI_,_, 1978 AND 1982

I 9 7 Peso Value of Food All

Area

1982

8

Not _

of ALl Food SOurc_

Peso Value of Food " All .... Not

F_

_f All Sc_rces

Philippines

2.78

2.22

_, 57

2c, 5

3.99

3.33

O, 66

16, 5

All Urban

3.79

3.49

_,29

_, 7

5,22

4.7_

0.49

9.4

5.96

5.58

0.3_ _

6.4

4.7_

4.20

0.56

11,8

3,3_

2.64

0.74

21.9

Metro

_

Other

Urb_

la

_ural

Source.:

...... -

......

2.27

i. 56

O. 71

Foot! and Nt,trition F_earoh

3_. 3

Instltste

{1981_ 1983).

lm


Table _ I_

Food

EIASTICITIES OF PER C_ITA CGNS_TIO_ O_ FOOD _, BY URBI_IZATI_: PHZLIPPIWES, .1978 AND1982

Groups

!978

...... Phi lip_.... pines

Cereals & Cereal Products Star_-_y Roots & Tubors Sugar & Syrups Fats & Oils

-0.01 0.02 0_ 38 0.26

ris_, He_t _ Po_l_rr" Eg_m Milk & _iLlk _.roducts D_led l_'_s, _ut._ & Seed_

0.24 0. _2 0.63 0.17

Green

20

A11 Urban

Metro F-_i! a

-_.01 -0.05 .... 0.43 ,_ 0.2_ -

0.2i 0.46 0..65 ._.20

-

: ....... Other Urban Rural

_ -

e/ 0.02 0.32 0.22

-

0.28 0.37 _.61 0.1,3

1982

................ Phl lipplnes

All Urb_

Me fro Manila

_ ..... 0_ r Urban

.,_ural

-0.04 -0.94 0.41 0.37

-0.06 n.n. 0.31 0.39

-9.14 0.32 0.24

-0._5 -0_.07 0.29 0.3%

-0.02_ -0.05 0r 44 0.30

0.35 O. 45 0.78 0.1B

0.29 0.46 0.83 0.19

0.24 0. _9 O..:,t_ Q.02

0.31 0.49 0.83 0,21

0.37 O_ 38 . 0.(_:_ 0'17

-0,14 0.41 0.32

-0.12 0.43 0.41

"-0.04 0.12 0.16

-0, !1 0.46 0.41

-0.14 0.37 0.18

O. 14

O. 17

O. 28

O. 17

O. 12

Leafy & Yellow

Ve_tables Vitamin C-R.rLch Foods Other Fruits & Vegetables

-0.01 0.46 0.33

_Lscellaneo___.._._.______

_. 06

_/ 0.39 0.37 .....

-

-0.03 0.54 0.2_

O. 04

-

0.07

-

• ,....

--*/Inclusive of Source:

_ 0.004 +

Food and Nutrition

Research Institute

(1981! 1983), ,_"

" •


54

Tabla 21 ELASTICITIES OF .FOOD GROUPS,

PEP+ CAPITA

QF

P.Y INC_

P_ILIPPINES,

1978

Per

Pood Gro_s

__e rj7

CONSt_TION LEVEL:

I_ss tham P500

IncoIR,

Capita

L_%_I

_500-1500

Above P1500

Poo,_

Cez_als

-0.02

-0.04

-

0.14

0.17

0.63

0.31

Pa_ a oi.._

c.o_

o.3e

o.o'_.

Fish,

0.29

0.21

0.22

O. 09

0.65

0.23

0.28

1.31

0.45

O. 13

0.29

O. 18

O. i0

-0.14

Starchy Sugar

& Cezeal P,n<:_ll

Pzoductm

& Tubers

Meat

-0.16

.

& Syr_

& Poultry

Eggs

.Milk

& Milk Pz'o_ucts

D=Aed

Beams,

Nuts

&

0.04

Seeds

___z.'P..intPo<__ + Ureen EaaÂŁy & +ellc._ Vegetables

Vitamin _Rich -OP,:her

Fruits

Foods & Vegetables

Misceilaneo_

So_Izoa:

Food

a_d

Nutrition

0.20

0.45

0. :_2

0.05

0.29

0.56

0.24

0.05

0.08

0.09

_

le _ _h IInstitute

(1981).


55 Table 22 _SlO_ FOC_ CONSt_ED

•:r.n,_,z:_n_snt Varlablu

ON PER CAPITA PZSO VALUE C_ (BC_G_T) _

__.:

Pe_:'¢_ita

2.

Peroent :_f Household l_smbers 13 Years and

4.

'L,'rbaniza_Lon_

5.

Meal Planners _ears

81ze (Rural)

eq_tJ._,

(0.o2)

0.30

(0.03)

0.20

(0,04)

-0.08

(0.02)

-_.04

(0.03)*

-0.18

(0.03)

-'0.?0

(0.04)

0.12

(0.01)

0.15

_n

double

spQci_i_d

Sour._e: Food and Nu_ri_'_. _search

log

form.

Institute (19,81).

_

F_xl Only

0.33

Schooling

--_'Regz_ession

Bought

(o.ol)

Over Household

Consumed

vaz_

0.25

Inc_m

3.

197_

Per cw_ta_p_uo

All Food

1.

of

PHILZPPINES,

(0.02)


v

'_ _abla 23

_sTzm_s or ZNC0_/__TU_ A._.,_:

Souroe/,/e ar

, •_b:l.Uppines

rm md Tecso_s A

_

(1961) (1965) {1971) • n and Sees(m: B

(Z97:L)

.' .........

Pszz,zPPzNzs

Xtl b'r_ A,

He_-o Manila

other ,,,_,,,,

_.,__,

_

0.079

.

_

(un.tt.s of

_ot;ed. FOOd

0.819 0.775 0. 705

0.818 0.768 -

0.667

....

-

(gx'ow_d data by £n_ class)

z_ - a*,b1"k (groW_d

srmagen (1976) • A,

'In_

.K,_

da¢_ " ClaSS}

0.33

"

zi: j - %£ + 81£ ln,yj

'

+,a2:La:j,

.... s,,

(ho.old),

B. •Tan amd Tecsons

A

(1961) (1965) (1971) Canlu

(1965)

0.593 0.484 O. 452

0.637 " 0.542 -

0.296

0.336

Av_guetero, e.._.tal__. (1974-76) _Lce & Products O. 15 •R£oe Cozn Grits & P_ucts Corn Wheat P]:(xlucts

0.13 -0.55 -0.59 -0.63

-

(househoZd)

Cereals : .

-.

0.671 0.535

0. 362

-

0.429

.

sam

as In A above

m_

LE S (g_qL_ed data by :Ln_ class)

. "

ln gN£_ - -+bln_ (_ouseh olds)

_"


57

T_Ze I|

,

I

!

I

:l_lLltjp-

.

(1976) A B

_11 .

_eS_

.......

e._

(cont.) .

..............................

Sour_e/Yeaz

Bennagen

23

_uat_-o_ '

Metro

Urban Manila J ...............

Other Urb_

( u_Lts Rural

O. 13 0.05

(197e)

Same

, -O.Ol

-o.01

-

-

of

observation )

-

_ Q_

as above

- a+b _Yj

l_ (1982)

-0.04

-0.06

-0.03

-0.05

-0.02

N., a

(households, one-da_ data)

c. s.t_r,_ _ots and_,r, 0.12 -0.21

A B I_RZ

(1978) (1972)

0.02 -0.04 O.

Tan m'_d Tecson,

Same

0.05 -

-0.14

Protein/Body-Bu/lding

-0.07

_ -0,05

as above

Same as above

Foods

A

(1961) • (1965) (1971) Canlas (1965) Fish & Other Seafoods Meat & Eggs •M,:LI.k & Dairy Products Avi_untero,

..... ....

1o153 1.162 1.111

0.919 1.128 -

-

-

-

1,273 1.001 -

0.483

0.479

0.469

-

0.707

1.083

1.043

0,946

-

1.151

0.999

0.684

0.6"73

-

1.271

.

Same as in A above

Sa_ ..

as

above

e_t a_l. (1974-76}

.Pork Beef/Caxabeef Al1 Poultry Meat

O. 80 0.86

..... ....

0.78

-

All All

Eggs Da£zy ]Produc_ All Fxlsh/

0.72

....

Frozen Fish Dried & Smc_ed Fish

0.37

-

0.13

....

Same as above -

-

-

-

-

-

0.68 .....

..

.......

:

.

::

:

:.


_8

T_le

.Source/Year

Bennagen 1_

23

Phi l£ppines

(cont.)

All Ux_an

Metro Manila

Othor •-Urban . .-

,......

-

_ZLT .........................

(unies of obs_ zwa_L_)

(1976) Meat

Poultry

Heat

Eggs Dairy

Products

Seafoods

Fish, Meat, Poultry Eggs : Milk & _ik Products

A B

0.52 0.44

-

A B

0.19 O. 16

.... ....

A B

O.32 0.32

....

-

-

-

a B A B

0.39 0,24 0,33 0.19

.... ....

-

-

i %

1978 1982

0.24 0.35

0.21 0.29

0.24

0.31

0.28 0.37

197_ 1982

0, 42 ,. 0.45

0.46 0.46

0.29

0.49

O. 37 0.38

1978 1.987

0,63 0._8

0.65 O, 83

0o 5a

0.83

0.61 0.63

1978 1982

0,17 0.1B

0.20 0.19

0.02

0.21

0.13 0.17

Same as above

Same

as

abo_e

Dried Beans, NutS, Seeds

E, Tam and Tecson:

-

Re .U_lating

Foods

A

(1961)* (1965)* (1971) *

.978 1.126 1,211

Aviguetero, et al, (1974-76) f/ All Leafy & Yellow Vegetables 0.26 All Fruit Vegetable_ 0.35 All Fruits O. 35

1.137 1.158 . _74

.... .... .....

-

-

1.278 0.944 -

Same as in A above

Same as above


59

.......

".......................

Source/Year

Philip-

.....

_

Bennag_n

_ines

_ra_t_

A

....,,..,S A B

Green Leafy Yellow

Vit a_In CRich Foods Othe_ Fruits & veoje._tables

_/Includes

Manila

Unb_

Roral

._

-

-

(unAts of

0.30

....

0.17 O. 40 " O. 16

-.... .....

1978 1982

-0. Ol -0.14

-0.12

~0.04

-0.11

_0,03 -0.14

19"78 1982

0.46 0.41

0.39 0,43

0. i2

0.46

0.54 0,37

1978 1982

O. 33 O_ 32

0.37 0.41

0.16

O. 41

O. 28 O. 18

r_rs,

and mlecellaneous.

_tables

_ _ean _nditures

on i th food item by k_h Inoou9

family e_enditures

_ average

family

in kth inG_me

size in k_h income in i_

class

class

= weekly

quantity

Eij

_ _ekly

expenditures

_

ith food item by jth household

Yj

_ total

annu,__l income

of'

Jth household

Nj

_ total number _ one-day

cans_d

class

Qi_

QDij

observation)

of variables:

- n_n Nk

Other

sum above

&

Vegetables

Eik

U_an

-Equation

_tro

(1976)

Vegetables

Definition

All

of households

quantity

consumed

food item by

_embers

Jth household

in jth household

of ilb food item by jth household

Same as above


6O

Table ANNUAL

24

EMZRGt CO_SD_TIC_ BY ENERG_ ITEM AND PHILIPPINES,

•m'_eEgy

N__. -Co_e

Item

rcial

1977

Energy .... Rural

C_nsun_tion

Per Urban ,,

Household Philippines

Energy

F£rewood Woodwaste

1.43 0.01

(34.7) a-/ (0.3}

3.41 0.02

(32.8) (0.2)

1.87 0.80

(33.9) (0.3)

C_arooal Cocu_ut Shells Rice Hulls

0.64 0.46 0.04

(15.5) (11. i) (0.9)

1.35 0.06 0.12

(12.9) (0.6) (I.I)

0.37 _0.01 0.06

(14.4) (6.7) (i.0)

all

(n.a_)

0.01

(0.06)

nil

(0.03)

Sub-total

2.58

(62.5)

4.97

(47.7)

3.11

(56.9)

E_ectri_Ity

o.o_ (._.-7)

Biogas

Petroleumz Gasoline Kerosene ....biesel L_G Sub-total

1.48 (35.8) 0.62 (14.8) 0.74 (1"2.9) 0.05,_.-(i. 3) 0.07 (I. 8) I. 55

_tal Total

O_ HOUSEHOLDS BY AREA:

(37.5)

0.40 (3.9_ 5.04 (48.4) 2.40 (_-'23.1) 1.58 (15.1) G. 49_ (4.7) 0.57 (5.5) 5.44

(52.3)

0.14 (2.6) 2.27 (41.1) 1.01 (18.3)--" 0.93 (15.8) O. 15 (2.7) 0.18 (3.3) 2_41

(43._7)

4.1_.._3.._!oo.o____ j ,zo.41 (1oo.o) s.s2(loo.o.._) (_0E)

21 _147

15,164

36,3 Ii

+

--a/_he first number refers to the equivalent pe_ ho%uBehold while tO the pe=c_mnt of total ener_jy

Source;

Ministry December

annual energy consump_d..on the number i.n parentheses uonsumptlono

of Energy, _ner/_f Sectocai Sur_, 1982; Tables _. a. I - I. c. 3.

in SOE zefers

Manila_


6r

T_le

BY

MA2OIg ENE_'Y CIAgS:

_5

_%,-_4, BY AREA ._HILI['P iNES,

_A/_D i_Y INC¢_ 19 7 7

;ncoE_

• r

"

" ,

-

"

]

_

Non-comrerc.'ial

_2,500

7,999

60.5 62.5

5_. 0 61.5

34. i °?4 ,,2

56.3 62.5

57.5

37.2

II. i A

47.7

65.9 _5. ,_ 88.9

43_ 7 37.5 52.3

_

C omme.r$1a.l Energy

(%)

ove_

_&roups _

49.0

Ph_ lippin_s l_ural Urb_

39.5 37.5 42. _

49.0 38.5 62.8

Phi lippines Rural

22, _45 13, _C&

,_t2,090 6,805

Urban%

Source,_

_._

]_me_'y !_).-

Phili_plne_ Rural Urban

Level

9,0_

Ministry Manila,

5 _]95

1,466 533

36,311 2 I, 147

933

15 _164

of Enezgy_. _Zn9r2_ Sect_;=a] Surv_eries,____ December ]2982: Table.;:.I.d. i-I_ f.-t.

"-


Table _G_SS_C_

Z_};_ndent

ANALYSIS

Va.r£able

OF ENE_-Y

F_mi ly Si_

-_

26

CONSU_P_{_:

Household

(_ i.

P,_._Household

Per

1977

Income =-"

Energy

:=_(!)_ ....

Item_ /

.. .{p:c)

_2

Total

Phi lip_ines

-0,

_nral

-0.4932

(,.-_ _._o_._ d/ (-0.9409}

_, -0.0_..0_ -0, 0004

(-0,4783) (-O, 3083)

0°0343* O, 0330*

i_2,I1.3) (2. 5536}

0,61 0,68

-0_ 8197

(-0,4i97)

,-0.0009

(-0.5.655)

0,02Sl

(0.5._6) _

0,28

0. ]085 /_, '_ "_I .... _G,_ -0.6_3_

(0, 1877) _.5730) '-_, 4129)

-0, 0002 0,0005 -0..0006

(-0, _469) (0,.4045) *' _-0.5 4 _ ....

0.0059 0,0010 0.0106

(0. 916__) (0,6308_ '_0,5_7_)

O, 35 0,51 O, Z4

Philippines

,00184 •

,(1. ?082)

-0.0003

{-0. 3992)

-0, 5452

(-1,0043)

0, 52

Rural _rban

-0,4054" -0, 0346

{-2_!202) (-0,0468)

-0.0009* -0 o0003

(-2,025!) (-0,2804)

0,1443 _ -0, 0036

(2,3120) (-0, 09_0)

0,69 O, _I

Urban 2.

PHILIPPINES,

_ot_geho_d

_ommercx

_:_31

_._on-

al E2_ercjS,

cons_tj____ Phi !.ipp3.ne_ Rura! U zban 3,

Per

He_sehoid

Ener_'

_/

Commercial

Cons _m_gtio_

Middle Rm_,_4e Family Size_ (FS) the region divided by 2).

b_/ A_erag__

Annual.

Househol_

c_/ Price Per Energy Item E_ergy Consumption in _d/ t-value in parenthesis Source:

Ministry

of

Per

Income

Kegien

(I) Per

(PC) (_ppro_imated BOE).

Energy,

Energy

Sectoral

(approximated Region by

the

Surve_

(from

by NEDA

m_.giona!

Series,

largest

family

and

statistics),

MOE

Energy

Manila,

Bill

divi_ed

December

reported

size

by

1982,

in

Regional

Tables

.m

IIa-IIc.


Table PERCENT

27

OF _OL_EHOI/M_ BY T_PE OF i_0_L L_ED BY SOC!C_C_fXMIC URBAN

PHIDIPPL_

All

Phifippi.es

Fuel Used

Households

Eloc tricity

90

99

W.eroscoe

68

C_dle

.... _ ......

98

82

I00

I00

99

38

5e

83

18

4!

?i

6_

74

73

5_

96

93

Sa

'._ooa

__

45,

47

"70

26

'->8

46

Ch _rc_)al

56

5_

50

63

35

29

27

LPG

_-_ _.

_.6

70

25

88

83

49

•_,_....

54

47

47

6!

56

45

4

2

3

5

4

2

2

1,9_9

i87

833

979

83

372

293

Number

of Households

Souse-e:

Mknistry _-._mb_r

_'/[ddie _-_

"..... •.-_i_o -_i i_ _ -

li_i_h

C.thers

r

_so_oec_omic class _l_w

_ a__e___s

_gh

CLASS

1979

of Energy, E,er__ Sectoral_S;_vey 1982; Tables 1 amd 2, pp. 82-83.

Series,

Manila,

Middle---"

_


64

Tabl¢._ 2 8 5$1/AL SOURCES AND

OF EN_:RG%_ BY

SOCIO-_CONOMIC

CLASS:

All

Function

Urbam

Households

.u_ht.._g

_1o_.o

Electrl city Kerosene LPG Candle

90 I0 -. .......

100

_._

........... Middle

to_0 12 _4

Kerosene

15

wood

30 5 1

2

Metro

_hilippines

99 1 ......

9 40

Charcoal Others

1979

zo_..£ lo_£

E le c_riclt_ LPG

F[:_CTION,

URB_[I PHILIPPZNES

MA,_.',:LA_

ANID _TRO

Source/

HOUSEHOLb

98 2

_.oo°

Low

High

1o_D..o.19o 82. 18

I00 -

io_.£ loo

Manila

"....... Middle

!0o i00 -

Ix_

1oo 99 1

1..._

!oo

13 57

4 20

19h 7B

19 73

ii 45

2

9

23

1

5

35

I0

3.6

47

1

2

9

5

5 1

1

1

-

-

-

9_

9__0 87

_

-

2.%

_,_

2.8.

9_2

9_8

5_ 36

7$

73

44

98

99

20

24

48

"r

--

9!

2!

__L

..1_5

99

9.!

2_!

43 1

93 1

66 1

15 -

99 -

83 -

27 -

3

20

2

34

3

55

84

76

32

95

93

64

77

92

84

68

90

88

67

Elec_rlcity Battery

52 25

81 II

67 17

34 34

82 8

75 13

45 23

Electricity

56

-93

77

31

98

92

55

187

833

979

83

372

293

Electrlcity Charcoal

_.,._'r __ rat./=: E lectri city F_rosene

Electricity

.-

3

-

Ventilati_, E le ct-_ city Radio

TV

Total

Households

Source:

1,99£-_

Ministry Decembez_

of E_er¢/y, _toralSUrvey 1982; Table 4, pp. 89-90.

Series,

Manila,


Tob!e AVERAGE

MONTHLY

CLASS-

Erierqy

_L

U._B_

EX"_NDITURF_¢ _'E[LIPFII','F.S

A_ I Households

I_m

29 f.PF_qOS) AND

I@._D_TRO

SOCXOECONO_4_C

_I[.%,

_b f_pi,e_

1979

...._

Metro

"-

_

F.lectric[ty

39.67

iOC_ 51

4Z.4g

22_ i3

94.74

35.62

19.Q_

LPG

5!.2Z

_5.76

49.24

46.15

54.63

45.6_

42,57

K_ c_ene

i_28

i?, -_5

16.43

20.92

7.83

19. i0

29.79

W_.od

25_02

30..'5 S

24,.11

24.80

6. _

4_96

.

"_

..

_._

/

Oth,-_ _ _,, . ,_-

_.,. _:_

a/Inclu&s

cm_les

Source..:

Minis_ty December

m_

5.47

5._7

batteries.

of _er_/, Pxter_ Sectoral 1982, Table _0, p. 104.

Sur___

Series,

Manila,

4.60

6.14


66

RF_ERENCES

Abenina,

M.A.

and

R.C.

Tanchanco,

Pricing Behavior in the B.A. Thesis, University Diliman.

Aragon,

C.T., holds, College

1984,

"Market

Prices

and

Philippine Rice Industry"_ of the Philippines, School

1972, Cereals Consumptio n Patterns Unpublished M.S. Thesis, University of Agriculture, Los Ba_os.

pfPhilippine Houseof the Philippines,

Aviquetero, E.F., et. el., 1978, "Regional Cons_mption Major Foods, 1974-76", Special Studies Division, Service

Department

of

Agriculture

SupportUnpublished of Eco1_:mmlcs,

Patterns Planning

for

(May).

Bennagen, M.E._ 1980, A Study 9f Food Consumption and Expenditure < Patterns of Philippine Sousehold, Unpublished M.A. Thesis_ University of the Philippines, School of Economics, Dillman. Canlas;

Currie,

D.B. Demand J.M.

1983, "Estimating Price and Incocne Elasticities for Food: The Philippines 1965", Unpmblished 1972,

"The

Analysis

The pemand_fgAFood, Food

and Nutrition S u_Philii_2

1982 Goldman_

Gonza]o,

Mend0za

Family

Budgets"

in

Manchester

Institute, i981_ 1978, Manila.

W.J.

ThQmas,

University

First

Survey,

PhilippineS,

H.W. and C.G. Ronade, 1976, Food Consumption Behavior by Class in Rural and Urban Philippines, Occasion_l Paper No. Department of Agricultural Economics, Corn_l! University (November). S.Y ...... , 1976

A.C . 1969,

-"_ Ur_iv<n:s_!t]"oi

"Demand

_

_....,.....

ti_c _.i. •:,_

ec_Inq

Rural

_ ::._•-,S_•hoo!

Patt.?r:_s. De_-_r[,_%_¢

ed.

Press.

Natio.__nwide Nutrition ...

• 1983, "Second Nationwide Nutrition '_, Unpublished report (December) _

M.A. Thes_s, Diliman. Kell_y

Research

of

Manchester:

of the manuscript.

Change

of

and

Income 90s

Household Economics,.

Econom.ic

A.C 1982 .... _pact of Rice Price Pel!cy on Food Consumption and Human Nutrition at th_ ".[ill;_-!e [_';v:.•! _', M_snoqraph Series Nc. 2; R£_ionel ....' ' _ Pro_rar=._ •r_in_n.7 c'_ t_^:_ and _utrition Planning, University

¢.f the

Phi!i_7/:.,-_

=h

l_n

i'::_(z.


67

•.

'

v

.

..• .

, .

Mohan, ,R., 1982, "The Effee :t_ of Population Growth, of the Pattern , , , , Demand, and _ Technology on the Process of Urbanization_ ,Application to India", World-Bank Staff Work/ng Papers, Number 520. N_tional

E,c_r_8ic and Development Authority, 1982,:Five-Year Deva!o_um__entPlan, 1983-1987, Technical Annex, Manila.

Dllva, S., 1971, Demand Analysis of Animal " " Unpublished .M. $.. Thesis,..VniVerSiCy-of. of Agriculture, Los Ba_oa.

of An

Philippine --

Foods in the Philippines, the Ph£-iippines-, Colleqa

.

Pants,

F.,1977, .Cons__e__rFunctlons_ Func_iona! Forms, Unpublished Ipplnas, School of Economics,

_.

, 1980, "Dynamic Demand Functions_ An Appli_atlon to Philippine Expendlture Pattern, The_philip_plne Econ_ic JO_LTnal, No. 45, VOl. XIX, NOS. 3 & 4, D_. 495-525°

Pernla, E.M., 1983, •Relationships West Resoles

•An _plr!cal Evaluat$on of Alternative Ph.D. Thesis, Un_ve_-sityof-_he Ph4i-_ Diliman.

"Food, Fuel and Urbanization_ An Exploration of and Research Issues," Working Paper WP-83-22, EastSystems and Population institutes.

'. , 1976_ _Urbanization in the Philipplnes= Historical and Comparative Perspectlvesr" Papers of the East-West Population Institute, No. 40, Honululu_ East-West Center. Pexnla,

E.M. and C.W. Paderanga, Jr., 1980, "Urbanization Development in the Philippines_ A Survey," Surve_ _De_v_elopmentResearch, Manila: Philippine Institute Studies.

and Spatial of Philipplne of Development

Pernia,

E.M., C.W. Paderanga, Jr._ V.Po Her ..... _> and Associates, 1983, The Spatial and Urban Dim_._sio:,_ of. D._velo_,ent in the Philippines, Manila_ Philippine !n_t it<_._ c',_[ D .ve!opment Studies. --

Ray_undo, C., 1983, "Population Grc_.th a_,d Urbanization," in M.B. Co Con_e.p_ion, ed., Populat_?n o_ t_,_', r_,__ ]__nes_ Current Persnectlyes and Future P ro.,;_e_[:9_ , };_:_i!.',_: l:a_ional Economic a_ Development Au hhori _l. Rogers,

R. 1978, "Mi_ratlon, Urbanization, Resources and Development," A!ternatives for Grow_th..__The_ En_,!nccrln_ and Econo_ic•s of Natural R_eeources Development, Mc'-:arn-_,H.J. a:_d L, _ilcox, e4s., Cambridge, Mass: Ba]_llnger.


68

pines," ZED_ Discusst_nl School of _conomtcs.

Paper

74-9,

University

of the

Philippines,

•_ylor,

L.D., 1977, *The D_mand £or F_u-c_: A Survey of Price Zlaat£clttes," :in W.Do Nordhausw internat£onal Studies DeeU_._d .fc_'-Znez_y, North-Holland F_blishtn_ Company.

and lnc4:m_ of the

b_bJ:_,

M. * 1972, The_._De_sr_ for Some Selected Veqeta_les in the Phili_pJ_s, Unp_lished M.S_. Thesis, Universi_ o£ _le Phil_l_ines, College of Agriculture, Los _os.


-69 •

,

._

.

•._mnex & -

- •

ASlsmlation 14oaeA:ueor Food, end ruat.Products in _be Process of t_banlzati_n

-.The

p_pose

of

_hie

mode_ "..ha_ wS_l.l..be used I...,

the

PhAl£ppines

in

Dote

is

_o _.ackle

to

delineate

.a prel mimtnary

"c.he foZlow_

food and household

_

.

issues: in 1:he

req_'_s

rJ_e _wo decades

in the

face

of

_?,h

dis_£bu_on

_hese requArements

and

-. 20

_e

An the

Antoine &roups 3, likely

of

_o_tr,y

among _he

the exzent _o which policy inSex,ventions can £nfluen_

scena_ics

in the

futu_w.

The modeA _ls composed

I.

of _ve

blocks_

which

u_b_._g_owZh block _hlch .p_te_i_

axe

_he

foA_a-

_he ._.h

o_ urban cen_e_ 2.

demand

S.

demand _ov _u_

4.

supply

o£ food block

5.

supp:ty

of fuel block

The model analyses

of

approach

will

-of ._e

fop food

req_ir_.,

issues

As useful s_a_ed

agg_egative

o_ policy inz__rventiOn.

for

above.

demand and supply

l_u_ge_....:,,_The .s._ply

a_e inCended _o_ghi_ analys_

b_loc._

as oor_zitute_

_he three

ho_hold,

block

partial

A general

equations

equazlons

for

,(blocks

equilibritm equilibrium all

ccmponen_

5 and 6)

and useful pax_icule_vly fop

"


70 °,

In lhe _:"l.l:LppLne6_

I_ has

two main _ndo_ar_

va_r_'_A¢_: urban

-.

_.

'-

ex/xl.anal:m"_

_obla_

do with u_b_

_posed

-_,_ di__e_,

',(:

wh_,_ : i,_t

_or, _As

:

_e _.-

'

p_oce_s

the_fc,_Ae

The ma_n equa_io_ _

.....

_._.__,_: _ _.

have

_o

_el-_-

_ _ _!2_ _ 'Yi,_ 7-1"L;gt)

_._.g, _:_.i:; :_ ::_ .... ,:_ : i :

,:

_fo'_, the

kth

......._._.._;__,:'_ -._ '._"L_I .. •li_c_ _," _,_._t_, _'.?'".-..L,...-_;_I ' _8,_1._

:_L_':_...... _,": ,,"_ <:,_

_',-':-,.,_ _:- "

(,,_PI'_ t,_,:¢.

;,V-.,

'."_._._'o_ _skil2,ed


.'7].-

natlm_a_ incom,

t't • :Ls._e

.-

. ..,.. ,_

I_

£s an index d

_ms_uc_

such as kLlomtem Z_.

an index of ovez_3, devel_t

of paved roads,

£8 a ,m¢_'_ of other

de_t o_ u_ban areas

numbe_ o_ _ephonas

oondll:loud_

var£ablas

8u_

as age

die_v'_bu_on.

A_ 'the pz,eeent '_hno 'the foas:iJ:,/.1.:_t'yOf est:lma'd_nS 'r.hLs oquat£m m

by _r_o_e c_e_s is 8tL_l

__

Ca) V_opo_t_u

lumped rosette.

It

is fe_t

J;o_J.Y.en_m13.a d.'J.:Ff-or8 _ To'_l. urban ,,,_a_Lon £8 she mm over the

A¢ em_ t£_

£n doub¢.

_la

O_y

_o

and (b) o_

_hat the _¢

u_ban "centers w _ban

o_ I_,thof

__ 14e_o-

Chose og o'_he_ twban centers. for

the _h

u_ban _nte_

aS _:Lm

t

£noom c.lamsms:

% She pro_ected

popu_a_£on o_ *.he kt..h.h _e

_1.ess

m

t=l

where

_

£s ",:hepop_at_

cen't:ez, aS t/;ne t.

of _ek't.._b Lnc_,e

c.tas8 :In ",:he'n.th


Should £$ peove lu_esible equat:AcB by _

e_ass,

wilA be es_tnated,

_o es_Aua_e

the _ig_a_.t_

on ovex_SA nis;r_tton

A vect_

o_ i_r_ctions

equat£on

14_t,

based ou _he resu;_8

of e_AstAN_ 8tudiu o_m them be appliad _o _

kn "coesl:hnateM_

the u_igz,atSan of _he kT.h income class..

household

• unCt£_S

W_MIbe used in subsequent

popul_stAan f£p by dAvidl_

_

ho£d _b_,s.

The nunbe_ of households

where

As _e. averaSe

i

_

ai_aT.Ic_

denand

and

W bouehoId

units

nunbe_ of people by _he avez_tge aumbe_ of house-

_ncone class

thek_h

blocks,

wtAl have _o be oo_.ve_od

oF the kt_s

hk_

Because

An the'nth

uz_m

eente_

a_ _£ne _ As _hewe_z_.

size

of household

An loca!A_y

on fo_

c_u_.

The de_A'cy fo_ 1:hem_h u_ban cer_ce_As by de_A_i_Aon:

_heaw

A_

is ?_e lend area of mv.h urban center

vsA_B

of

h_

wA_L1be be,eed on e_s_tn_

re_ioual

a_ -..line t.

The

and u_bsn places.


?3

.2, The _¢[_1 ¢t_enm¢

_

and £n_

e.c_t

of t_

block _

_pes by i_x_ecZue.

_asl;t¢lttes

the d_and fez.

11_ estl_CL_

.lind ¢_oas elastLc_tte8

book of "d_e.odk, ¢o be _Led Wl px_.ccmeto estate

x_pt_menCs ¢be

out _ ¢b_ meseaz_. demand_¢icu

•two ua:'baa_eem:er "¢y_".

o2 _loe

The _d

_nct:ions

_oz. each ofthe wL1J.have _e

k

_e'_th

ln_oM cZa_ _ the mba_ cente_ oz, rural

a_ea l_dexed by _,_.

: i_ - Ve_-t_ of. _r_ .

-

fez. _e .food t_pes

o

in gibe '_th _nco_e cla_s Z¢ " -. :is a vector

of other

conditter_ng

v_tab_es.

The ¢o¢al f-c<>ddeuau_ _¢_.Lo_ for t_e k',.h _r_o_._ el.ass

; Z)


74"

a fun_/_

that e_t

.of dLffea_nt

£_xN_

be _ns£s_en_ poupe.

These demand i_£c_s equ£valen_s_A_ end Nu_rL_on Inco_

w_h

The est_-a_i_

and Ex_ndLture

procedure

wit1

will be cQaverted _o 1:he£rnu1:r£en_

_ech_£calcoe_clen_

P_seax_h

Engel Curve _ff£e£en_s

l_Atu_e

(F_)._/.

Sunveye o_ _e

end 1983 Su_,veys of t_e F_'B_will

p_vlded by "/:he Food .Da_a from Family

NCSOend da_a from the 1978

be ul:£_zed

An l_e est£_atio_

To_al den_nd _or food type A for _he 'k_h_ Lnco_e class ..loca$icn

•s

"

in

is therefore:

when the _mbe_ o£ ho_el_

_i_

is t_ken f_om the urban _th

block.

3.' =Dmandfor i_lll

_1

ill

it

[

_

_lock

The e_er_y demandby houseb.olds v_ll be measured i_ c_ve_Ac_al _

enez_y units. To calculate_he _

will be necessary

'theene_

to conw_c household consumption

_nmc_:Lons, da_a 1:o

uni_ usi_ s_:a_a_ e_ergy cor_ten_:and average effi-

cAency _ac$ors.


75

"

The px_opo,,_ bomeO:_oldde,,a_ ."_e

_m_l_

for enez_

48

_Au&:

-tL_-_ is the dmend for energyin location m by boUsed_olds_n income class

k.

.tPe= is the vecto_ of prices for alteruatlv_sources of e_.v k Y_: _ _.e the

-_I _n_

of

the k_h

_ooms

available from the ruben gr_ Zt

= As a vector of o_Q_

data

HinAsTr_

base_ of

on the

_CSO sur_ey_

block

oondltioning variables,

• Theme ene_Ey demand equations hold

class

will

be estimated

and o_hex,

data

on house--

se_s

from

the

Ener_.

where LÂŁ= t

q_

As 7_heland area planted to foo8 crop

A

in year $.

|

PXC/t prlce index in yea_ Pf-i

= i8 the ye_

_,

vectc_ of prices of _ifferent food

t-l.

c_p8

An


•" •76

p(L)M, c = is _e _Z_3o_

log op6ra'co_ _(L) on the

i ,IJt_

"

'.

=:k.. •the toI_1

of mtg_atto_

o_ 1_o_

sv_ab_l_y

Yt = _e ott_

in

==ba_. loeat£¢_.,

_itto_l_g

to al& u._an

in

tl_

z_m_

oente=_

az_as

va=,£able=.

Is _e_fo_e=.

k

• _he supply planted per

of food will

to d£E_et_ent

hectaz_.

¢z_ps

b_ bu_.!_

and _o=

_he suppZy .funct£ons

by Sours (19eZ).

u_ f_,o_ _a_,'.onal

p_o_ect:_ons ,will

build

of avez_e on p_ev£ous

_ecta_a_es yieZ_ work

do_e


-?_

To_ _e

t_

Is deft.,snlned.by

food _op

1: .t-i

'Jh£s e_uaq:i_ ma_ox,_p:

oq:het, cx_ps,

_£oe,

whex_.

corn,

_

is

planzed

to l_hat _op

* P(L)HI:_ XI:

_n The r_t!onaI

cocer_u_s,

..s_,

level

vege_:8_le

supp_-y of

foo(i

cx_p_,

8 y_._d f:_'_ of

.hectare

yield

in ye_x _ "t and .¢_.Ss T_e In acCusl si_ula¢i_ns, The be

S _ • F_ ,__

Fo_, non-food

.per

c_

the _

supply

and

da_a:

h_s_o_Ic_l aveIM_e y_e!d Erow_h _a_e.

To_al

fox,

cr_ps,

w,U_ :be u_od ba_ed on an ext_n,n_t_,

Er_w_h on h_rl_l

%_%°

_ea

be estlsmted

. To detex_mS.r_ "l:otal

hecl:az,e pro_ecti_ y.l.eld

wLll

_e

func-.t:i,o_:

1:he _llr_Ing

= Lt

each

_yl, e,

of

food,crop

_..i11

_hen be:

_: _"t _ LI:

crops _ a di:rec_

_-upp_.y equ_oz_

es t _a_._d:

_,. • _'1:( _,.

_; _)

v_._.

x_e

....


78

wh_

the eXplana_:o_ va?iablo

.if.. _t-i .= _¢'_or of /oo8 #_ic_s in year t-I .Ct

= pol_,_.i_l ••

la_

o_. the

euz_ent

b_•ance

_,efl.ec_ingi=pc_t•

on _at

end ozh_

acc_uut

oonst_alnts

nou--c,-_ foods,

L%

= vector of land own pl•an%edTO %he food cr_ps.

Xt

= othe_ co_dlti_ninE variables,

}%ze.1.Supply _nc_io_s

w_il ,_/.se be _tlmated

at _he national

level which wall•dmaw or_previous supply st_dles, pa_Iculamly

Be_usa

one

of-_h_,i_po_tanc_ of foz_isn exc_snBe.co_s_a_aiu_s,

ZhePe will 5e _e_smate domes_.:icand foreign enerEy supply a_ua_ion$ will be es_ima%ed.

S b

Whez_

The domes%it supply _quation will have the fo_m:

_

$_D

• ..%P_,-•I is the vecto_ of ener_, p_ces• in yea_

I_-a vec%c_ of _m_i%ionJn_

variables.

=

SE% P

and

Z%

The foreicn energy supply

eq_a_i_m ,,i11_d of _he form:

SE_

t-i

(_-i' •#(L)C%; Z_)


79

whm

O(L)C t

is

a polv_a_

balm_ce renec_h_-for_

e=c_e

Use o_ %he !4odel -f_orPol_cy

_h_

la,_ on the

c_z_e_t

accou_z

_s_ein_.

S_la_io_s

sectien d_sc_seeszhe capabiliztes,of

Zhe proposed

•_odel fo_ policy enalys_. be .variablestha_

a_e auscel>_ible

%0 po.l_cy £nte_wnt_c_

PI _i

_" %er_s of _de

be_ee_

_[ndus%Tyend aE_icu1%u_e

-PI o Z,a1:!o o£ _d_mtTial '

,

•.

prices _o food prices

- level of _.ncomegoing to %he. k_h income class

yk

Many o_ l_e

_cy

hendles

ez,e. ecZually

Pollcy _nterveut_

Inclu_L_n_

o_ taxes Z,_a_d_ve_

a wedge between produce_

p_tce.

_le

_he notatien

price

rationing meduceable _o subsi_ cost and

above _e6s not reflec_

•[s_baidy Impllc_% in the his%ordeal data, %he pl_ned •procedure

variables.

w_ll _e_'_ec_ _he e_st_r_e

of

the

consumer rex as

_s_ima_icn

_axes a_ subsidies.


8@

The x,_levantpr_ucer'a p_Acu equatlan_ while coBaum_'s

_e

_'cee

in _e

dena_d equations.

inomne varlable can be e policy hemdle _

that incame _edls_ibuticxn meas_ fu_n_e.

will be used in the supply

_he ex_en_

are implemen1_edin _he


Tool's, re8

•l--/_u a_te_a_ive _ton

app:¢ach,

_etho_ iB to me the household producZiou _mce_d directly

estimate

_he nu_n_en_

demand fuucZlons:

• for

thet_._.nutr£ent

of shad_

.primLs

_1_. derived

In _hl5

_

_he fl_ll

_he a_proech _Ices

L_ the

cousT_a_n_

vec_o_

w_l_:_,.ch d,eDen_

__, and _,_hoZ#. 't:i.se _.

_IT_e _pecif_cet_c_ i_plici_.y

because _8

income

1_t

vk.'

on _ic,_s.. _.t" in_,

approach.

function

u_llze._

£s ex_:_en_ly

are _oZ _cl_ed

the household .partial in

_

at _his .

pr'od_c_£_'_ poinZ


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