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Spatial Dispersion of Retail Margins: Evidence from Turkish Agricultural Prices

Hakan Yilmazkuday

No 1802, Working Papers from Florida International University, Department of Economics

Abstract: The farmer share of retail prices is shown to be about 16 percent, corresponding to about 84 percent of a distribution share, on average across agricultural products and regions within Turkey. The share of transportation costs in retail prices is only about 7 percent, while the share of retail margins is about 77 percent of retail prices. The dispersion of retail prices across regions is shown to be mostly due to local wages and variable markups, while the contribution of traded-input prices is relatively small. Accordingly, the high dispersion of farmer prices across locations is not reflected in the dispersion of retail prices due to the high contribution of retail margins. These retail margins are also shown to account for about one third of the consumer welfare dispersion across regions and more than half of the consumer welfare dispersion across products.

Keywords: Agricultural Prices; Farmer Share; Distribution Share; Retail Margins; Consumer Welfare Dispersion (search for similar items in EconPapers)
JEL-codes: L81 Q11 R12 (search for similar items in EconPapers)
Pages: 33 pages
Date: 2018-04
New Economics Papers: this item is included in nep-agr, nep-ara, nep-cwa, nep-ind, nep-mkt and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

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https://economics.fiu.edu/research/pdfs/2018_working_papers/1802.pdf First version, 2018 (application/pdf)

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Journal Article: Spatial dispersion of retail margins: evidence from Turkish agricultural prices (2018) Downloads
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