Incorrect Price Information for a Heterogeneous Commodity: A Conceptual Synthesis

Darren Hudson, Don Ethridge and Eduardo Segarra ()

Review of Agricultural Economics, 1998, vol. 20, issue 2, 365-376

Abstract: Theory and analysis of markets and market behavior have typically assumed that the information available to market participants is correct. Additionally, most analyses examine market behavior assuming homogeneous products. This article examines the implications of incorrect market price information, especially price differentials based on quality, first conceptually and then with evidence from prior research on cotton prices as an illustration. This evidence shows that price differences based on quality have direct implications on production and marketing processes. Incorrect price/quality information can lead to distortions in the market and market inefficiency.

Date: 1998
References: Add references at CitEc
Citations: View citations in EconPapers (6)

Downloads: (external link)
http://hdl.handle.net/10.2307/1349995 (application/pdf)
Access to full text is restricted to subscribers.

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:oup:revage:v:20:y:1998:i:2:p:365-376.

Ordering information: This journal article can be ordered from
https://academic.oup.com/journals

Access Statistics for this article

More articles in Review of Agricultural Economics from Agricultural and Applied Economics Association Oxford University Press, Great Clarendon Street, Oxford OX2 6DP, UK. Contact information at EDIRC.
Bibliographic data for series maintained by Oxford University Press ( this e-mail address is bad, please contact ) and Christopher F. Baum ().