Wholesale level demand for fish grades in Greece

Abstract

Differential inverse systems are used in this paper to investigate the structure of wholesale level demand for fish grades in Greece. Model selection tests suggest that the inverse CBS performs better that the competing differential systems. Homo-theticity and separability tests indicate that the underlying distance function is homothetically separable in the medium- and the low-value species. The own-quantity flexibilties suggest that the response of prices to own-quantity changes are inelastic while the cross-quantity flexibilities indicate that the substitution possibilities among fish grades are rather limited.