Price transmission along the Turkish poultry and beef supply chains

Guncavdi, Mehmet; Kors, Murat; Tok, Elif Ozcan

Price transmission along the Turkish poultry and beef supply chains

Mehmet Guncavdi, Murat Kors and Elif Ozcan Tok

Working Papers from Research and Monetary Policy Department, Central Bank of the Republic of Turkey

Abstract: In this study, we examine the price transmission in terms of magnitude and speed along the supply chains of Turkish poultry and beef markets. We develop a two-step model. In the first step, we employ indicator saturation method to identify the structural breaks of impulse-indicator saturation (IIS), step-indicator saturation (SIS) and trend-indicator saturation (TIS) types in the data. In the second step, we construct an autoregressive distributed lag-error correction model (ARDL-ECM) introducing the structural breaks into the analysis. The main findings indicate that the magnitudes of pass through of a price shock between different levels of supply chains are considerably large, and the largest effect is observed from wholesale prices to retail prices. The convergence to the long run equilibrium is also fast.

Keywords: Conditional ECM; Food supply chain; Vertical price transmission (search for similar items in EconPapers)
JEL-codes: E31 E37 Q11 Q18 (search for similar items in EconPapers)
Date: 2021
New Economics Papers: this item is included in nep-agr, nep-ara, nep-mac and nep-mon
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.tcmb.gov.tr/wps/wcm/connect/EN/TCMB+EN ... g+Paperss/2021/21-30 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:tcb:wpaper:2130

Access Statistics for this paper

More papers in Working Papers from Research and Monetary Policy Department, Central Bank of the Republic of Turkey Contact information at EDIRC.
Bibliographic data for series maintained by Sermet Pekin (appgm@tcmb.gov.tr) and Ilker Cakar (sermet.pekin@tcmb.gov.tr) and (ilker.cakar@tcmb.gov.tr).