The effects of advertising on the demand for vegetables

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Abstract
The effects of advertising are examined in a dynamic almost ideal demand system, applied to weekly demands for six fresh-vegetable groups in Norway. A number of restrictions regarding dynamics, advertising, homogeneity, symmetry, and seasonality are tested. The static almost ideal demand system is rejected. The estimated own-price elasticities are negative, of reasonable magnitudes, statistically significant, and relatively more elastic in the long run than the short run. The results show no significant positive effects of advertising on vegetable consumption.

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