MANDATORY VERSUS VOLUNTARY PRICE REPORTING: AN EMPIRICAL INVESTIGATION OF THE MARKET TRANSPARENCY CONTROVERSY

Scott Fausti, R. Keimig, Matthew A. Diersen, Han Kim and Joseph Santos

No 32024, Economics Staff Papers from South Dakota State University, Department of Economics

Abstract: The ability of the former voluntary price reporting system to generate market transparency in U.S. livestock markets was called into question by producer groups and academic research prior to the new federal system of mandatory price reporting being implemented. The market transparency issue is investigated by comparing price data collected from the former AMS voluntary price reporting systems to mandatory price reporting data for live slaughter steers collected by the State of South Dakota before the advent of the new federal system. The relationship between a set of public price report series and the South Dakota mandatory price series is analyzed using cointegration techniques. The empirical findings indicate a strong long-run and short-run integrated relationship between the mandatory price series and a majority of the selected public price reports. We conclude that in the cash market for live steers in South Dakota, the former voluntary price reporting system did foster market transparency and aided in the price discovery process.

Keywords: Demand; and; Price; Analysis (search for similar items in EconPapers)
Pages: 26
Date: 2002
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://ageconsearch.umn.edu/record/32024/files/sp02-04.pdf (application/pdf)

Related works:
Working Paper: MANDATORY VERSUS VOLUNTARY PRICE REPORTING: AN EMPIRICAL INVESTIGATION OF THE MARKET TRANSPARENCY CONTROVERSY (2003)
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:ags:sdsusp:32024

DOI: 10.22004/ag.econ.32024

Access Statistics for this paper

More papers in Economics Staff Papers from South Dakota State University, Department of Economics Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().