David F. Bradford, Harry H. Kelejian; The Value of Information for Crop Forecasting in a Market System: Some Theoretical Issues, The Review of Economic Stu

A general linear simultaneous equation system with a multivariate Student t disturbance vector is considered. The normal equations of the corresponding maximum likelihood estimator are used as estimator generating equations to introduce a new class of estimators. Properties of large subclasses of these estimators are determined for disturbance vectors other than the multivariate Student t.

Interrelated city-suburbs residential-location equations for middle- and upper-income-class families and for poor families are estimated using cross-sectional data on 87 large metropolitan areas in 1960. We find that residential-location decisions of middle- and upper-income-class families are determined, among other things, by the city-suburbs rent differentials, by fiscal surplus differentials, and (negatively) by the location of poor families; additional hypotheses concerning interactions with family income were suggested and statistically accepted. The location equations for the poor families involved cost and fiscal differentials and a proxy variable for employment opportunities.

Barten, A. P., Composition, Prices and Expenditure Patterns, Colston Papers 16 (1964), 277-292. Forsyth, F. G., Relationship Between Family Size and Family Expenditure, Journal of the Royal Statistical Society, A, vol. 123 (2) (1960), 367-397. Klein, L. R., and H. Rubin, A Constant Utility Index of the Cost of Living, Review of Economic Studies 15 no. 1 (1947), 84-87. Lluch, C., Extended Expenditure System, European Economic Review 4 (1) (1973), 21-32. Muellbauer, John, Household Composition, Engel Curves and Welfare Comparisons Between Households, European Economic Review 5 (2) (1974), 103-122. Identification and Consumer Unit Scales, Econometrica 43 (July 1975), 807-809. Podder, N., and Nanak C. Kakwani, Distribution of Wealth in Australia, Review of Income and Wealth, series 22 (1) (1976), 75-91. Prais, S. J., and Hendrik S. Houthakker, The Analysis of Family Budgets (Cambridge: Cambridge University Press, 1955). Singh, Balvir, and A. L. Nagar, Determination of Consumer Unit Scales, Econometrica 41 (2) (1973), 347-356. Stone, R., Linear Expenditure Systems and Demand Analysis: An Application to the Pattern of British Demand, Economic Journal 64 (3) (1954), 511-527.

This paper is concerned with the problem of estimating demand and supply schedules in disequilibrium markets. The results of Fair and Jaffee are expanded in three ways. (1) Their directional method I is modified to yield consistent estimates. (2) A maximum likelihood alternative to their quantitative method is proposed. (3) The price equation is generalized to be a multivariate, stochastic function, and a method is proposed for estimating demand and supply schedules in this case.

George C. Bitros, Harry H. Kelejian, On the Variability of the Replacement Investment Capital Stock Ratio: Some Evidence from Capital Scrappage, The Review of Economics and Statistics, Vol. 56, No. 3 (Aug., 1974), pp. 270-278