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Price Stabilization in the Taiwan Hog and Broiler Industries: Evidence from a STAR Approach

Tsorng-Chyi Hwang, Meng-Gu Chen and Chia-Lin Chang ()

MPRA Paper from University Library of Munich, Germany

Abstract: The paper examines the effectiveness of the price stabilization mechanism for the broiler and poultry industry in Taiwan during the period 1999 to 2008. After presenting some background information on the domestic marketing system and price stabilization mechanisms for the broiler and pork industry in Taiwan, the paper discusses the smooth transition autoregressive (STAR) methodology. Monthly hog and broiler price data from 1999 to 2008 at farm, import and retail levels are analyzed using the nonlinear, non-asymmetric logistic STAR model in order to determine price transmission structure. A price threshold parameter is used so that price transmission levels can vary, thereby allowing an examination of the efficacy with which the hog and broiler price stabilization mechanisms take effect.

Keywords: Broiler industry; Pork industry; Price stabilization; Domestic marketing system; Smooth transition autoregressive (STAR) methodology (search for similar items in EconPapers)
JEL-codes: C01 C22 Q11 Q14 (search for similar items in EconPapers)
Date: 2010-12-20
New Economics Papers: this item is included in nep-agr
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Related works:
Journal Article: Price stabilization in the Taiwan hog and broiler industries: Evidence from a STAR approach (2011) Downloads
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