European Union Import Demand for In-Shell Peanuts: The Source Differentiated AIDS Model

This research estimates import demand elasticities for in-shell peanuts in the European Union from four different sources: China, the United States, South America, and Africa. The null hypothesis of aggregation over product sources is rejected at conventional levels of significance suggesting that peanuts from different sources are differentiated by EU consumers which might attributed to their different quality characteristics. Conditional expenditure elasticities for U.S. in-shell peanuts are larger than expenditure elasticities for Latin American, Chinese and African peanuts.