The Theory of Contested Markets and the Degree of Tradedness of Agricultural Commodities: An Empirical Test in Zaire

Steven C Kyle and Johan Swinnen

Journal of African Economies, 1994, vol. 3, issue 1, 93-113

Abstract: The theory of contestable markets is used to derive predictions of the extent to which agricultural commodities behave as traded or non-traded goods. These predictions are confirmed with Zairian data which show that there is wide variation in the response of domestic commodity prices to real exchange rate changes. Copyright 1994 by Oxford University Press.

Date: 1994
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