This paper considers [he properties of a class of models which is based on the Addilog demand system. These models not only fulfil the adding+p criterion but also ensure that the predicted expenditures are non-negative anda subset of these modelspermits the existence of saturation levels for certain commodities. A goodness of f i t comparison between this class and other systems of Engel curves favours the Addilog model. The estimated expenditure elasticities compare favourably with previous estimates of Australian household expenditure patterns and it is observed that the elasticitiesjor health and alcohol and tobacco expenditures have decreased substantially from their levels in the late 1960s.~ '
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