Short-run expenditure and price elasticities for agricultural commodities: The case of Greece, 1951–1983

Summary The purpose of this paper is to examine consumption patterns of the Greek consumer for agricultural and non-agricultural commodities by estimating a complete system of expenditure equations. The estimated expenditure and price elasticities of demand show that demand for agricultural commodities is income and price inelastic and that for non-agricultural commodities it is income-elastic but price-inelastic. The cross-price effects, both compensated and uncompensated, appear to be strong between agricultural and non-agricultural commodities and less significant among the agricultural commodities by themselves.