Globalization and Consumption Patterns Among the OECD Countries

29 Pages Posted: 25 Jun 2004

See all articles by István Kónya

István Kónya

Magyar Nemzeti Bank - Economics & Research Department

Hiroshi Ohashi

University of Tokyo - Faculty of Economics

Abstract

The paper examines the evolution of consumption patterns in Organization for Economic Co-operation and Development (OECD) countries from 1985 to 1999. Estimation of demand function parameters uncovered consistent evidence that differences in consumption patterns have recently diminished between the countries. The paper further uncovers an empirical relationship that indicates that increased bilateral trade and foreign direct investment (FDI) has contributed to the convergence of consumption patterns. The result is robust to the consideration of endogeneity in the trade and FDI variables.

Keywords: Globalization, almost ideal demand system, endogeneity, convergence

JEL Classification: C33, D12, F02

Suggested Citation

Konya, Istvan and Ohashi, Hiroshi, Globalization and Consumption Patterns Among the OECD Countries. Available at SSRN: https://ssrn.com/abstract=558624 or http://dx.doi.org/10.2139/ssrn.558624

Istvan Konya

Magyar Nemzeti Bank - Economics & Research Department ( email )

H-1850 Budapest
Hungary

Hiroshi Ohashi (Contact Author)

University of Tokyo - Faculty of Economics ( email )

7-3-1 Hongo, Bunkyo-ku
Tokyo 113-0033
Japan

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
389
Abstract Views
3,123
rank
104,699
PlumX Metrics