Testing for linear engel curves
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Elsevier Ltd
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Abstract
The demand system, NLES, proposed recently by Blundell and Ray (1982), is shown to aggregate consistently across households. It is then used to analyse time series expenditure data of Korea, Greece, Israel and Puerto Rico. The empirical results reject linear Engel curves for each country.
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Kasekende, L., & Ray, R. (1984). Testing for linear Engel curves: An application of NLES to cross-country data. Economics Letters, 14(4), 327-332.