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الملخص

The vital importance of the study of the Expenditure Elasticities stems from numbering indicators given about the nature of consumer behavior in the light of his income and the level of prevailing prices. The Expenditure Elasticity is considered the most important indicator to measure reactions of the consumer towards the total Expenditure change as well as forecasting Expenditure. The problem of research is that the decision maker, in all cases, needs these planning indicators (Elasticity), which contribute in having the proper planning resolution. As foodstuffs constitute the largest proportion of the total of consumer Expenditure, estimating the Expenditure Elasticity of the demand for these materials became inevitable. Therefore, this research targeted estimating the Expenditure Elasticity of the demand for foodstuffs and considered them as indicators in the process of consumption planning. For the purpose of achieving this objective, data were used to examine the family budget for the 1993 to estimate the Expenditure Elasticity for twelve subsets of foodstuffs in urban and rural environments, using dual directional algorithm. Estimates have crossed economic and statistical standards, and high Elasticity values showed saturation shortage of foodstuffs in both environments where the Expenditure Elasticity amounted (0.868) to a total of foodstuffs in the urban environment, and (0. 845) in the rural environment, as well as the convergence of food consumption pattern became clear through the convergence of the Elasticity values in the environments.

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