Estimation of Engel curves for household expenditure on dry bean and processed bean in Mexico

Dry bean is the leading source of low-cost plant-based proteins in Mexico. However, in the years following the liberalization of the economy, Mexico experienced the erosion of a self-sufficiency index for this commodity. Impending changes in the international markets for proteins compel us to reeval...

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Main Authors: Antonio AGUILAR-LOPEZ, Salvador GONZÁLEZ-ANDRADE, Aleš KUHAR
Format: Article
Language:English
Published: University of Ljubljana Press (Založba Univerze v Ljubljani) 2020-05-01
Series:Acta Agriculturae Slovenica
Subjects:
Online Access:https://journals.uni-lj.si/aas/article/view/12961
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author Antonio AGUILAR-LOPEZ
Salvador GONZÁLEZ-ANDRADE
Aleš KUHAR
author_facet Antonio AGUILAR-LOPEZ
Salvador GONZÁLEZ-ANDRADE
Aleš KUHAR
author_sort Antonio AGUILAR-LOPEZ
collection DOAJ
description Dry bean is the leading source of low-cost plant-based proteins in Mexico. However, in the years following the liberalization of the economy, Mexico experienced the erosion of a self-sufficiency index for this commodity. Impending changes in the international markets for proteins compel us to reevaluate the role of dry bean for Mexico’s food security. In the present paper we set out to analyze the last link of the marketing chain in Mexico’s dry bean market: the consumer. Using data on household expenditure for 2018, the relationship between income and expenditure on dry bean as well as on processed bean is ascertained by means of the Working-Leser Engel Curve equations system. Due to the presence of zero-expenditure households in the sample, we followed the two-step Heckit procedure for the possible selection bias. The results suggest that the budget share for dry bean and for processed bean drops as income increases. The corrected conditional elasticity for dry bean is −0.1056. For processed bean, the elasticity is −0.2286. The negative sign indicates that both commodities are inferior goods.
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spelling doaj.art-0b3a2aa618d04fce96d4007587dd6abf2025-03-12T12:17:02ZengUniversity of Ljubljana Press (Založba Univerze v Ljubljani)Acta Agriculturae Slovenica1854-19412020-05-01115221522210.14720/aas.2020.115.2.141519353Estimation of Engel curves for household expenditure on dry bean and processed bean in MexicoAntonio AGUILAR-LOPEZ0Salvador GONZÁLEZ-ANDRADE1Aleš KUHAR2Instituto Tecnológico Superior de Huichapan, División de Ingeniería en Gestión Empresarial, Huichapan, MéxicoEl Colegio de la Frontera Norte, Departamento de Estudios Económicos, Tijuana, MéxicoUniversity of Ljubljana, Biotechnical Faculty, Department of Animal Science, Ljubljana, SloveniaDry bean is the leading source of low-cost plant-based proteins in Mexico. However, in the years following the liberalization of the economy, Mexico experienced the erosion of a self-sufficiency index for this commodity. Impending changes in the international markets for proteins compel us to reevaluate the role of dry bean for Mexico’s food security. In the present paper we set out to analyze the last link of the marketing chain in Mexico’s dry bean market: the consumer. Using data on household expenditure for 2018, the relationship between income and expenditure on dry bean as well as on processed bean is ascertained by means of the Working-Leser Engel Curve equations system. Due to the presence of zero-expenditure households in the sample, we followed the two-step Heckit procedure for the possible selection bias. The results suggest that the budget share for dry bean and for processed bean drops as income increases. The corrected conditional elasticity for dry bean is −0.1056. For processed bean, the elasticity is −0.2286. The negative sign indicates that both commodities are inferior goods.https://journals.uni-lj.si/aas/article/view/12961plant productionplant based proteinsdry beaneconomicsengel curveshousehold incomefood self-sufficiencymexico
spellingShingle Antonio AGUILAR-LOPEZ
Salvador GONZÁLEZ-ANDRADE
Aleš KUHAR
Estimation of Engel curves for household expenditure on dry bean and processed bean in Mexico
Acta Agriculturae Slovenica
plant production
plant based proteins
dry bean
economics
engel curves
household income
food self-sufficiency
mexico
title Estimation of Engel curves for household expenditure on dry bean and processed bean in Mexico
title_full Estimation of Engel curves for household expenditure on dry bean and processed bean in Mexico
title_fullStr Estimation of Engel curves for household expenditure on dry bean and processed bean in Mexico
title_full_unstemmed Estimation of Engel curves for household expenditure on dry bean and processed bean in Mexico
title_short Estimation of Engel curves for household expenditure on dry bean and processed bean in Mexico
title_sort estimation of engel curves for household expenditure on dry bean and processed bean in mexico
topic plant production
plant based proteins
dry bean
economics
engel curves
household income
food self-sufficiency
mexico
url https://journals.uni-lj.si/aas/article/view/12961
work_keys_str_mv AT antonioaguilarlopez estimationofengelcurvesforhouseholdexpenditureondrybeanandprocessedbeaninmexico
AT salvadorgonzalezandrade estimationofengelcurvesforhouseholdexpenditureondrybeanandprocessedbeaninmexico
AT aleskuhar estimationofengelcurvesforhouseholdexpenditureondrybeanandprocessedbeaninmexico