Analyses of the relationship between imported and other prices in different marketing stages of garlic in Korea
Byeong-il Ahn, Yong-Sun Lee
56권 3호 (2015년 9월)
Present study investigates the causal relationship among the prices in different marketing stages and the magnitudes of the impacts of the price in one marketing stage on the others in order to find an implication for better policy design. Granger-causality tests show retail and wholesale prices Granger-cause producer price. The variance decomposition results suggest that producer price is relatively more exposed to the variations of the prices in other marketing stages. Price transmission test results indicate that asymmetries between producer and retail prices as well as producer and wholesale prices do not exist but the asymmetry between producer and imported prices exists. These estimation results suggest that producer price is significantly affected by other prices.