Economics at your fingertips  

Empirical analysis of price relations along the Finnish supply chain of selected meat, dairy, and egg products: A dynamic panel data approach

Anthony Rezitis ()

Agribusiness, 2018, vol. 34, issue 3, 542-561

Abstract: This study uses a panel cointegration and Error Correction Vector Autoregressive (EC‐VAR) approach to examine the long‐ and short‐run dynamics as well as the direction of causality between agricultural product prices, producer prices and consumer prices along the Finnish meat (i.e., beef, pork, and poultry), dairy (i.e., fresh milk, other milk products, cheese, and yoghurt) and egg supply chains for the period of 2005:01–2014:12. This study also examines the “cost‐push” and “demand‐pull” theories. The results indicate the presence of cointegration among the three price series for each of the eight food chains. The “demand‐pull” factors are found to have a stronger impact along the food supply chain than the “supply‐push” factors. The short‐run causality results show bidirectional causal relations among the three prices, whereas the long‐run causality findings support the assertion that consumer prices dominate the other two prices, implying an attempt by retailers to exert control over the pricing mechanisms along the Finnish food supply chain. The impulse response functions show that the agricultural product prices experience higher and more prolonged fluctuations around the long‐run equilibrium than the other two prices. [EconLit citations: Q11, C32, C33].

Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)

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:

Access Statistics for this article

Agribusiness is currently edited by Ronald W. Cotterill

More articles in Agribusiness from John Wiley & Sons, Ltd.
Bibliographic data for series maintained by Wiley Content Delivery ().

Page updated 2021-09-20
Handle: RePEc:wly:agribz:v:34:y:2018:i:3:p:542-561