IDEAS home Printed from https://ideas.repec.org/a/cbk/journl/v4y2015i2p23-36.html
   My bibliography  Save this article

The Effect of Food Prices on Inflation in the Republic of Serbia

Author

Listed:
  • Snežana Radukić

    (University of Niš, Faculty of Economics)

  • Milan Marković

    (University of Niš, Faculty of Economics)

  • Milica Radović

    (University of Union, Faculty for legal and business studies, Novi Sad)

Abstract

In the Republic of Serbia, food accounts for a significant share in the consumer price index through which the inflation is statistically expressed. Therefore, in considerations of the basic factors of increase in the general price level, a special emphasis is placed on the specific features of the market of agricultural-food products. The aim of this research is to peruse the effect of the characteristics of the food market in Serbia on the inflation rate. High volatility of food prices is present because of the instability of this market, mainly due to seasonal fluctuations of supply and the effect of natural factors. Bearing in mind that the increase in food prices is the main determinant of the increase in the inflation rate, the indirect state control is very important so as to maintain price stability. Special importance is attached to the following instruments of economic policy: commodity reserves, storage policy, and fiscal and foreign trade policy.

Suggested Citation

  • Snežana Radukić & Milan Marković & Milica Radović, 2015. "The Effect of Food Prices on Inflation in the Republic of Serbia," Journal of Central Banking Theory and Practice, Central bank of Montenegro, vol. 4(2), pages 23-36.
    • Handle: RePEc:cbk:journl:v:4:y:2015:i:2:p:23-36
    as

    Download full text from publisher

    File URL: http://www.cbcg.me/repec/cbk/journl/vol4no2-2.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Ma Ángeles Caraballo & Carlos Dabús, 2013. "Price Dispersion and Optimal Inflation: The Spanish Case," Journal of Applied Economics, Taylor & Francis Journals, vol. 16(1), pages 49-70, May.
    2. Cruz, Moritz & Amann, Edmund & Sánchez, Armando, 2011. "Mexico: food price increases and growth constraints," Revista CEPAL, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL), December.
    3. Štefan Bojnec & Laure Latruffe, 2011. "Financing Availability and Investment Decisions of Slovenian Farms During the Transition to a Market Economy," Journal of Applied Economics, Taylor & Francis Journals, vol. 14(2), pages 297-317, November.
    4. Jungho Baek & Won W. Koo, 2010. "Analyzing Factors Affecting U.S. Food Price Inflation," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 58(3), pages 303-320, September.
    5. Wilson, Norbert, 2012. "Discussion: Causes of Agricultural and Food Price Inflation and Volatility," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 44(3), pages 423-425, August.
    6. Logan Rangasamy, 2011. "Food Inflation In South Africa: Some Implications For Economic Policy," South African Journal of Economics, Economic Society of South Africa, vol. 79(2), pages 184-201, June.
    7. Wilson, Norbert L.W., 2012. "Discussion: Causes of Agricultural and Food Price Inflation and Volatility," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 44(3), pages 1-3, August.
    8. M. Hakan Berument & Afsin Sahin, 2010. "Seasonality in Inflation Volatility: Evidence from Turkey," Journal of Applied Economics, Taylor & Francis Journals, vol. 13(1), pages 39-65, May.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Joel Hinaunye Eita & Victoria Manuel & Erwin Naimhwaka & Florette Nakusera, 2021. "The Impact of Fiscal Deficit on Inflation in Namibia," Journal of Central Banking Theory and Practice, Central bank of Montenegro, vol. 10(1), pages 141-164.
    2. Paulo Peixoto & Vítor João Pereira Domingues Martinho & Paulo Mourao, 2022. "Corruption and Inflation in Agricultural Production: The Problem of the Chicken and the Egg," Economies, MDPI, vol. 10(11), pages 1-33, October.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Sefa Işik & Fatih Cemil Özbugday, 2021. "The impact of agricultural input costs on food prices in Turkey: A case study," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 67(3), pages 101-110.
    2. Radukić, Snežana & Marković, Milan, 2015. "Limitation Of Trade Margins As A Measure Of Food Price Controls: Experience Of Serbia," Economics of Agriculture, Institute of Agricultural Economics, vol. 62(1), pages 1-13, March.
    3. Zhu, Xiaoyu & Barichello, Richard & Vercammen, James, 2023. "Analyzing the Dynamics of Food Price Inflation: An examination of Labour Costs, Supply Chains and Retail Food Price Inflation," 2023: The Future of (Ag-) Trade and Trade Governance in Times of Economic Sanctions and Declining Multilateralism, December 10-12, Clearwater Beach, FL 339508, International Agricultural Trade Research Consortium.
    4. Volpe III, Rickard James, 2014. "National Brands, Private Labels, and Food Price Inflation," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 46(4), pages 1-16, November.
    5. Łukasz Lenart, 2017. "Examination of Seasonal Volatility in HICP for Baltic Region Countries: Non-Parametric Test versus Forecasting Experiment," Central European Journal of Economic Modelling and Econometrics, Central European Journal of Economic Modelling and Econometrics, vol. 9(1), pages 29-67, March.
    6. Nemati, Mehdi, 2017. "Relationship among Energy, Bioenergy and Agricultural Commodity Prices: Re-Considering Structural Changes," International Journal of Food and Agricultural Economics (IJFAEC), Alanya Alaaddin Keykubat University, Department of Economics and Finance, vol. 5(3), July.
    7. Agnieszka Brelik & Barbara Golebiewska & Justyna Franc-Dabrowska, 2020. "Co-Financing of Organic Farming in the EU: Necessity or Fantasy?," European Research Studies Journal, European Research Studies Journal, vol. 0(4), pages 547-557.
    8. Rizgar Abdlkarim Abdlaziz & Khalid Abdul Rahim & Peter Adamu, 2016. "Oil and Food Prices Co-integration Nexus for Indonesia: A Non-linear Autoregressive Distributed Lag Analysis," International Journal of Energy Economics and Policy, Econjournals, vol. 6(1), pages 82-87.
    9. Afsin Sahin & Volkan Ulke, 2015. "Farkli Belirsizlik Duzeylerinde Faiz Oraninin Makroekonomik Degiskenlere Etkileri : Turkiye Uzerine Etkilesimli Vektor Otoregresif Modeli Uygulamasi," Central Bank Review, Research and Monetary Policy Department, Central Bank of the Republic of Turkey, vol. 15(1), pages 65-93.
    10. Geoffroy Enjolras & Gilles Sanfilippo, 2018. "The role of debt in financing French farm investments," Post-Print hal-02048362, HAL.
    11. Marktanner, Marcus & Merkel, Almuth, 2019. "Hunger and Anger in Autocracies and Democracies," International Journal of Development and Conflict, Gokhale Institute of Politics and Economics, vol. 9(1), pages 1-18.
    12. Angelova, Biljana & Bojnec, Štefan, 2011. "Developments in the Agricultural and Rural Capital Market of the Former Yugoslav Republic of Macedonia," Factor Markets Working Papers 110, Centre for European Policy Studies.
    13. Fatemeh Razmi & Azali Mohamed & Lee Chin & Muzafar Shah Habibullah, 2017. "How Does Monetary Policy Affect Economic Vulnerability to Oil Price Shock as against US Economy Shock?," International Journal of Economics and Financial Issues, Econjournals, vol. 7(2), pages 544-550.
    14. Lachezar Borisov, 2022. "The Relationship Between Food Production Prices And Inflation In Bulgaria," Economic Archive, D. A. Tsenov Academy of Economics, Svishtov, Bulgaria, issue 1 Year 20, pages 34-43.
    15. Eric Kateta Tshiakambila & Joseph Chisasa, 2017. "Food Inflation and Passenger Vehicle Purchases in South Africa: Cointegration, Short Run Dynamics and Causality," Journal of Economics and Behavioral Studies, AMH International, vol. 9(5), pages 122-134.
    16. Ioana Moldovan (Tonea) & Ioana Beleiu, 2020. "An Analysis of Investment Decisions in Agribusiness," Book chapters-LUMEN Proceedings, in: Carmen NÄ‚STASE (ed.), 16th Economic International Conference NCOE 4.0 2020, edition 1, volume 13, chapter 18, pages 194-205, Editura Lumen.
    17. Reboredo, Juan C. & Ugando, Mikel, 2014. "US dollar exchange rate and food price dependence: Implications for portfolio risk management," The North American Journal of Economics and Finance, Elsevier, vol. 30(C), pages 72-89.
    18. Nazlioglu, Saban & Soytas, Ugur, 2012. "Oil price, agricultural commodity prices, and the dollar: A panel cointegration and causality analysis," Energy Economics, Elsevier, vol. 34(4), pages 1098-1104.
    19. Enjolras, Geoffroy & Sanfilippo, Gilles, 2019. "La structure du capital des exploitations agricoles françaises," Économie rurale, French Society of Rural Economics (SFER Société Française d'Economie Rurale), vol. 369(July-Sept).
    20. Jitka Sirohi & Zuzana Hloušková & Klára Bartoňová & Karel Malec & Mansoor Maitah & Robert Koželský, 2023. "The Vertical Price Transmission in Pork Meat Production in the Czech Republic," Agriculture, MDPI, vol. 13(6), pages 1-14, June.

    More about this item

    Keywords

    food market; volatility of food prices; consumer price index; economic policy; inflation; the Republic of Serbia;
    All these keywords.

    JEL classification:

    • E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation
    • E58 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Central Banks and Their Policies
    • Q11 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Aggregate Supply and Demand Analysis; Prices

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cbk:journl:v:4:y:2015:i:2:p:23-36. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: the person in charge (email available below). General contact details of provider: https://edirc.repec.org/data/cbmgvme.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.