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     The main goal in this research is to survey and determine the actual structure of the demand function through the BOX-COX consumer goods demand system which includes various forms of demand functions. Using nested and non-nested methods the estimation of consumer demand function is done. Nonlinear seemingly unrelated regressions are also used for the periods of 1982- 2007 via the combined statistics of income groups in urban areas in order to calculate  uncompensated price elasticity and expenditure elasticity associated with the demand function estimate. Results of nested and non-nested tests show that the BCDS and AIDS models are near performance. The elasticity figures resulted from the BCDS and AIDS models have also revealed that food group is an essential one, social affairs (clothing, health, leisure and education) are regarded as almost luxury, and miscellaneous group (transportation and others) is quite luxury. But the group of housing (housing and furniture), in the BCDS model is almost luxury and in the AIDS model considered as essential. The elasticity of demand was confirmed by the demand law and cross elasticity of demand has also shown that the food group compared with the social affairs is considered as supplementary and to the group of housing and miscellaneous is regarded as a substitute. The social affairs group compared with the miscellaneous group is supplementary and to the housing group is a substitute and finally the miscellaneous group is considered as a substitute to the housing group.  

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Due to the rapid modernization process, we can see the inefficiency and obsolescence of urban textures in Isfahan alike the most Iran’s cities. Hence, renovation development of old textures should be one of the main goals in modernization of Isfahan. Analyzing the widespread dimensions of housing and identifying the ranking ways of different attributes of residential units by consumers is the most important step for being successful in housing projects. Since housing attributes are the non-marketed goods, we need to use non-market evaluation method to evaluate them.  In this paper Choice Experiment Method (CEM) has been used to evaluate and determine the consumer willingness to pay for various housing attributes. For this purpose, one of the old textures of Isfahan was selected and a sample of households living in that area was randomly drawn with 120 observations. Data was collected using choice experiment questionnaires and analyzed using STATA and EXCEL softwares. The results show that choice of residential unit is a function of 7 attributes including land area, quality and type of materials used in residential units, neighborhood security, access to major city centers, exemption from charge payments for construction, the amount of loan paid for construction and price of residential unit. Based on the results, the most effective variable is the land area; and residents have a high willingness to pay for this attribute rather than the other attributes.