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# Re: st: reshaping data?

 From agostino@unical.it To statalist@hsphsun2.harvard.edu, Yuval Arbel Subject Re: st: reshaping data? Date Thu, 25 Oct 2012 16:49:58 +0200

thank you, of course I'm aware of the misspecification: it was just a simplified version of my actual regression, to illustrate may data problem!
```

Quoting Yuval Arbel <yuval.arbel@gmail.com>:

```
```Here is a link to an excellent book in consumer's behavior theory:

http://www.amazon.com/Economics-Consumer-Behavior-Angus-Deaton/dp/0521296765

On Thu, Oct 25, 2012 at 4:19 PM, Yuval Arbel <yuval.arbel@gmail.com> wrote:
```
```Before going any further, please note that the model you proposed is
incorrectly specified. Any decent Econometric textbook will
demonstrate the endogeneity between P1 and Q1. Moreover, if you would
like to estimate the demand for each product - you need to have some
measure to the level of income of each consumer

On Thu, Oct 25, 2012 at 4:08 PM,  <agostino@unical.it> wrote:
```
```Dear all,
I would be grateful if you could help me to address the following problem:
I have to estimate the equation

Q1=a+b1P1+b2P2+...bnPn+e

Where Q1 is the quantity of item 1 sold by a supermarket during a week , P1
is the price of item 1 in that week, the other prices are those of the n
items belonging to the same family of items. My data set is organized as
follows:

Code_item       week    Q       P       Code_family
789             1       8       2       1
790             1       25      4       1
791             1       9       1.3     1

792             1       12      2       1

800             1       7       2       2
801             1       20      1.2     2
802             1       11      1.6     2

803             1       12      2       2

And so forth for the other weeks and families...

For each item, how can I include in my regression the prices of the other
(n-1) items of the same family, ignoring the prices of the items belonging
to other families?
Thank you in advance
Maria

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```

--
Dr. Yuval Arbel
School of Business
Carmel Academic Center
4 Shaar Palmer Street,
Haifa 33031, Israel
e-mail1: yuval.arbel@carmel.ac.il
e-mail2: yuval.arbel@gmail.com
```
```

--
Dr. Yuval Arbel
School of Business
Carmel Academic Center
4 Shaar Palmer Street,
Haifa 33031, Israel
e-mail1: yuval.arbel@carmel.ac.il
e-mail2: yuval.arbel@gmail.com

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```
```

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```

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