Objective:

this study estimates a system of demand for food products in Mexico, incorporating territorial and income dimensions. The differentiated impact of shocks on prices on economic well-being and the poverty rate is evaluated, considering variations among households and across five major regions.

Methodology:

using Deaton’s (1988) unit values model and the 2018 National Income and Expenditure Survey (ENIGH), we calculate price and income elasticities, examining the impact of price variations on income and poverty.

Results:

our results reveal significant regional differences, emphasizing the need to consider socioeconomic and regional variations and to adopt a territorial approach in such analyses for effective policy formulation.

Limitations:

there are limitations to this study that may affect a complete understanding of poverty dynamics. We have focused our attention solely on food products, excluding a specific group of products, in this case, fishery products. We also assume that households are only consumers of goods, thus omitting the productive and self-consumption dimension.

Originality:

lies in the direct link between poverty estimates and territorial disaggregation, integrating consumption patterns and specific elasticities for each region.

Conclusions:

our study highlights the importance of considering socioeconomic and regional differences when analyzing the demand for food products and its impact on poverty. Despite the limitations, our findings underscore the need for a territorial approach in this type of analysis to formulate tailored and effective poverty reduction policies in different regions of the country.

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