Mark-up volatility in Food Value Chains: Evidence from France and Italy

Maria Garrone and Johan Swinnen

No 626586, Working Papers of LICOS - Centre for Institutions and Economic Performance from KU Leuven, Faculty of Economics and Business (FEB), LICOS - Centre for Institutions and Economic Performance

Abstract: This paper estimates firm-level mark-ups and their volatility along the agri-food value chain using the methodology of De Loecker and Warzynski (2012). We estimate mark-ups of farmers, processors, wholesalers and retailers, how they change over time, and their volatility. We use detailed micro-level data from companies from Italy and France for the period 2006-2014. We find that farmers have a significantly higher volatility of mark-ups than other agents in the agri-food value chain, such as food processors, wholesalers and retailers. The volatility is negatively related with firm size in all sectors, and especially in agriculture.

Pages: 44
Date: 2018-06-06
New Economics Papers: this item is included in nep-agr and nep-bec
Note: paper number LICOS Discussion paper series 403/2018
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Working Paper: Mark-up volatility in Food Value Chains: Evidence from France and Italy (2018)
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Persistent link: https://EconPapers.repec.org/RePEc:ete:licosp:626586

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