st: quaids: how demographics variables change the expenditure function?

[Gary Mena <cgarym_187@hotmail.com>]

Hello,

although quaids command has provided me with a lot of help in my attempt to estimate compensating and equivalent variation, I've realized that demographics variables were very important when modelling demand systems. 

However, I haven't been able to understand how the quaids command handles demographics variables (I understand this command uses Ray's (1983) expenditure function scaling technique but it isn't explicit ly documented how).This is important given that if the expenditure function changes, then the welfare estimates will change.

Could someone please indicate me how does the expenditure function change with the demographics option in quaids command?

Thanks!

Gary Mena L. 		 	   		  
*
*   For searches and help try:
*   http://www.stata.com/help.cgi?search
*   http://www.stata.com/support/faqs/resources/statalist-faq/
*   http://www.ats.ucla.edu/stat/stata/