The objective of this work is to investigate vertical price transmission in the US beef sector. To this end, it employs the Nonlinear ARDL model which allows prices to be tied by asymmetric relationships both in the long- as well as in the short-run. The empirical results indicate the presence of asymmetry in magnitude for the pair of markets farm-wholesale and the presence of both asymmetry in speed and asymmetry in magnitude for the pair of markets wholesale-retail. The difference between the long-run elasticities of price transmission is more important from the wholesale to retail level than from the farm to the wholesale level.
Fousekis, PanosKatrakilidis, ConstantinosTrachanas, Emmanouil
Department of Accounting, Finance and Economics
Year of publication: 2016Date of RADAR deposit: 2020-08-13
This is a post-peer-review, pre-copyedit version of an article published in Economic Modelling. The final authenticated version is available online at: http://dx.doi.org/10.1016/j.econmod.2015.09.030