Working Paper: CEPR ID: DP9328
Authors: Pierre Dubois; Rachel Griffith; Aviv Nevo
Abstract: Food purchases differ substantially across countries. We use detailed household level data from the US, France and the UK to (i) document these differences; (ii) estimate a demand system for food and nutrients, and (iii) simulate counterfactual choices if households faced prices and nutritional characteristics from other countries. We find that differences in prices and characteristics are important and can explain some difference (e.g., US-France difference in caloric intake), but generally cannot explain many of the compositional patterns by themselves. Instead, it seems an interaction between the economic environment and differences in preferences is needed to explain cross country differences.
Keywords: characteristics; model; demand; nutrition
JEL Codes: C51; D1; I18
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Household-specific preferences (D19) | food purchase behaviors (D12) |
| Differences in food purchases between the US, UK, and France (D18) | differences in caloric intake (D15) |
| US households facing French prices and product attributes (D19) | purchase significantly fewer calories (D12) |
| Price differences (P22) | caloric intake (D10) |
| Nutrient characteristics (Q10) | caloric quantities (Q41) |
| UK product attributes (L15) | US household's food basket caloric intake (D12) |