The Demand for Good and Calories

JOURNAL OF POLITICAL ECONOMY 104, February 1996

Posted: 15 May 2000

See all articles by Angus Deaton

Angus Deaton

Princeton University; National Bureau of Economic Research (NBER)

Shankar Subramanian

affiliation not provided to SSRN

Abstract

We investigate nutrition and expenditure in rural Maharashtra in India. We estimate that the elasticity of calorie consumption with respect to total expenditure is 0.3=9C0.5, a range that is in accord with conventional wisdom. The elasticity declines only slowly with levels of living and is far from the value of zero suggested by a recent revisionist literature. In these Indian data, the calories necessary for a day's activity cost less than 5 percent of the daily wage, which makes it implausible that income is constrained by nutrition rather than the other way around.

JEL Classification: I31, I12

Suggested Citation

Deaton, Angus S. and Subramanian (deceased), Shankar, The Demand for Good and Calories. JOURNAL OF POLITICAL ECONOMY 104, February 1996, Available at SSRN: https://ssrn.com/abstract=4922

Angus S. Deaton (Contact Author)

Princeton University ( email )

Woodrow Wilson School
Princeton, NJ 08544
United States
609-258-5967 (Phone)
609-258-5974 (Fax)

HOME PAGE: http://www.wws.princeton.edu/~deaton

National Bureau of Economic Research (NBER)

1050 Massachusetts Avenue
Cambridge, MA 02138
United States

Shankar Subramanian (deceased)

affiliation not provided to SSRN

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