Assessing the demand for a healthy diet in Sri Lanka: the almost ideal demand system with infrequency of purchase

Due to the high prevalence of diet related diseases and malnutrition, assessing dietary choices in terms of a healthy diet is essential in the Sri Lankan context. By utilizing the Household Income and Expenditure Survey, 2006/07, Linear Approximation of the Almost Ideal Demand System (LA/AIDS) was employed to estimate price and expenditure elasticities, while paying particular concern to the infrequency of purchase. The results revealed that own and relative prices, real expenditure, demographic and socio-economic characteristics will immensely affect the dietary choices and income related policies will have a more impact on promoting food consumption. Hence, the government should pay more attention to these aspects when establishing policies.