In this paper the author demonstrates that the change in cost of living index (CLI) can be decomposed into the contribution that the price change in each good makes to the CLI. A CLI is constructed based upon a demographically scaled version of the Quadratic Almost Ideal demand system. The...

Regular consumer demand systems almost invariably employ specifications that involve common functional forms in all equations. When applications involve crosssectional data it is often the case that demographic effects are important. However it is plausible that demographic effects are...

This paper proposes and applies an alternative demographic procedure for extending a demand system to allow for the effect of household size and composition changes, along with price changes, on expenditure allocation. The demographic procedure is applied to two recent demand functional forms to...