aidsTestConsist           package:micEcon           R Documentation

_C_o_n_s_i_s_t_e_n_c_y _T_e_s_t _o_f _t_h_e _A_I_D_S

_D_e_s_c_r_i_p_t_i_o_n:

     Test whether the specification of the AIDS is consistent with
     microeconomic demand theory (i.e. utility maximisation).

_U_s_a_g_e:

        aidsTestConsist( pNames, wNames, xtName, data, coef = NULL,
           alpha0 = ifelse( is.null( coef$alpha0 ), 0, coef$alpha0 )

_A_r_g_u_m_e_n_t_s:

  pNames: a vector of strings containing the names of prices.

  wNames: a vector of strings containing the names of expenditure
          shares.

  xtName: a name of the total expenditure variable.

    data: a data frame containing the data.

    coef: a list containing the coefficients alpha, beta and gamma.

  alpha0: coefficient alpha_0 in the translog price index.

_V_a_l_u_e:

     a list containing following elements: 

monotony: a logical vector indicating whether the monotony condition is
          fulfilled at each observation.

mPercent: percent of observations where the monotony condition is
          fulfilled.

concavity: a logical vector indicating whether the concavity condition
          is fulfilled at each observation.

cPercent: percent of observations where the concavity condition is
          fulfilled.

cMatrices: a list of the 'C' matrices for each observation to check for
          concavity (see Deaton and Muellbauer, 1980b, p.76 ).

_A_u_t_h_o_r(_s):

     Arne Henningsen ahenningsen@agric-econ.uni-kiel.de

_R_e_f_e_r_e_n_c_e_s:

     Deaton, A.S. and J. Muellbauer (1980a) An Almost Ideal Demand
     System. _American Economic Review_, 70, p. 312-326.

     Deaton, A.S. and J. Muellbauer (1980b) _Economics and Consumer
     Behavior_, Cambridge University Press, Cambridge.

_S_e_e _A_l_s_o:

     'aidsEst', 'aidsEla'

_E_x_a_m_p_l_e_s:

        data( Blanciforti86 )
        pNames <- c( "pFood1", "pFood2", "pFood3", "pFood4" )
        wNames <- c( "wFood1", "wFood2", "wFood3", "wFood4" )

        estResult <- aidsEst( pNames, wNames, "xFood",
           data = Blanciforti86, method = "MK:L" )
        tc <- aidsTestConsist( pNames, wNames, "xFood", Blanciforti86,
           coef = estResult$coef )
        tc$mPercent   # great!
        tc$cPercent   # Oh, that is bad!

