Proper functional form selection to analyze meat demand in Iran

With respect to importance of meat in the Iranian household consumption basket, the demand for all kind of meats analyzed over the 1984-2010 years, in this study. The generalized ordinary differential demand system (GODDS) utilized in order to avoid of imposing specific functional form to estimating meat demand function. Result of the functional form selection test indicates that the almost ideal demand system (AIDS) is more consistencies with real behavior of Iranian households. Finally, the AIDS used to estimating demand function of beef, mutton, chicken and fish. Result of income elasticity implies that mutton and fish are luxury goods, while beef and chicken are necessity goods among Iranian households. Values of cross-price elastisities show that the consumption of other kinds of meats is sensitive to price of mutton, while the prices of other meats have less effect on the mutton consumption.