Zheng, Yuqing; Kinnucan, Henry W.; Kaiser, Harry M. - Agricultural and Applied Economics Association - AAEA - 2007
Advertising can rotate the demand curve if it changes the dispersion of consumers valuations. We provide an elasticity form measure of the advertising-induced demand curve rotation in five demand models and test for its presence in the U.S. non-alcoholic beverage market. The AIDS model reveals...