Price and expenditure elasticities and estimates of the effect of household
demographic variables on Indian food items are estimated using a recent ho
usehold survey data in rural and urban areas. Using a linear approximate al
most ideal demand system (LA/AIDS), the results indicate that for commodity
groups (milk and milk products; cereals and pulses; edible oils; meat, fis
h, and eggs; vegetables and fruits; other foods) demand is elastic only for
milk and milk products in both rural and urban areas of India. The impact
of demographic variables such as region, household size, education level of
household head, and seasonality, was generally significant.