Previous Issues

This study aims at estimating the demand for food in Kuwait using cross-section data from the Family Budget Survey (1986-87). Price and income elasticity has been estimated by applying the Linear Expenditure System (LES).

It is found that the expenditure pattern of the Kuwaiti households is different from that of expatriate households. The estimates of the income elasticity implies that almost all food items are necessary for both Kuwaiti and expatriate households. The price elasticities of different types of food are found to be low for Kuwaiti households and relatively higher for expatriate households implying different attitudes towards price changes.