IDEAS home Printed from https://ideas.repec.org/a/wly/agribz/v36y2020i3p385-401.html
   My bibliography  Save this article

Japanese beef trade impact from BSE using a time‐varying Armington model

Author

Listed:
  • Byung Min Soon
  • Wyatt Thompson

Abstract

This study examines the persistent impacts of the bovine spongiform encephalopathy (BSE) outbreak in the United States on Japanese beef demands. An Armington model with time‐varying parameters allows us to separate BSE effects from other factors. A counter‐factual case estimates that, if the BSE outbreak had not occurred, demand for Australian beef would have been lower and demand for U.S. beef would have been higher, with domestic beef demand only modestly affected. The BSE outbreak affected imported frozen beef demands more than imported chilled beef demands. Our estimation method is relevant for researchers studying the impacts of disease‐related or other trade disruptions, as well as to traders and policy makers with interest in Japanese beef markets. [EconLit citations: F14, Q17].

Suggested Citation

  • Byung Min Soon & Wyatt Thompson, 2020. "Japanese beef trade impact from BSE using a time‐varying Armington model," Agribusiness, John Wiley & Sons, Ltd., vol. 36(3), pages 385-401, June.
    • Handle: RePEc:wly:agribz:v:36:y:2020:i:3:p:385-401
    DOI: 10.1002/agr.21631
    as

    Download full text from publisher

    File URL: https://doi.org/10.1002/agr.21631
    Download Restriction: no
    File URL: https://libkey.io/10.1002/agr.21631?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Fawzi A. Taha & William F. Hahn, 2014. "The Impact of BSE on U.S. Exports of Beef and Pork," Agribusiness, John Wiley & Sons, Ltd., vol. 30(1), pages 5-16, January.
    2. Reed, Michael R. & Saghaian, Sayed H., 2004. "Measuring the Intensity of Competition in the Japanese Beef Market," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 36(1), pages 113-121, April.
    3. Sayed H. Saghaian & Leigh J. Maynard & Michael R. Reed, 2007. "The effects of E. coli 0157:H7, FMD and BSE on Japanese retail beef prices: A historical decomposition," Agribusiness, John Wiley & Sons, Ltd., vol. 23(1), pages 131-147.
    4. Bruce A. Blonigen & Wesley W. Wilson, 1999. "Explaining Armington: What Determines Substitutability Between Home and Foreign Goods?," Canadian Journal of Economics, Canadian Economics Association, vol. 32(1), pages 1-21, February.
    5. Shigekazu Kawashima & Deffi Ayu Puspito Sari, 2010. "Time-varying Armington elasticity and country-of-origin bias: from the dynamic perspective of the Japanese demand for beef imports," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 54(1), pages 27-41, January.
    6. Park, Sung Y. & Zhao, Guochang, 2010. "An estimation of U.S. gasoline demand: A smooth time-varying cointegration approach," Energy Economics, Elsevier, vol. 32(1), pages 110-120, January.
    7. Harvey, Campbell R., 1989. "Time-varying conditional covariances in tests of asset pricing models," Journal of Financial Economics, Elsevier, vol. 24(2), pages 289-317.
    8. Takashi Ishida & Noriko Ishikawa & Mototsugu Fukushige, 2010. "Impact of BSE and bird flu on consumers' meat demand in Japan," Applied Economics, Taylor & Francis Journals, vol. 42(1), pages 49-56.
    9. Kawashima, Shigekazu & Sari, Deffi Ayu Puspito, 2010. "Time-varying Armington elasticity and country-of-origin bias: from the dynamic perspective of the Japanese demand for beef imports," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 54(1), pages 1-15.
    Full references (including those not matched with items on IDEAS)

    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. Soon, Byung Min & Thompson, Wyatt, 2016. "Estimating Import Demand Functions in Major Beef Importing Countries by Bayesian Hierarchical Linear Model," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 235735, Agricultural and Applied Economics Association.
    2. Edgardo Ayala & Joana Chapa, 2017. "AH1N1 impact on the Mexican pork meat market," Estudios Económicos, El Colegio de México, Centro de Estudios Económicos, vol. 32(1), pages 3-25.
    3. Bajzik, Jozef & Havranek, Tomas & Irsova, Zuzana & Schwarz, Jiri, 2019. "Estimating the Armington Elasticity: The Importance of Data Choice and Publication Bias," MPRA Paper 95031, University Library of Munich, Germany.
    4. Bajzik, Josef & Havranek, Tomas & Irsova, Zuzana & Schwarz, Jiri, 2020. "Estimating the Armington elasticity: The importance of study design and publication bias," Journal of International Economics, Elsevier, vol. 127(C).
    5. Uuld, Amar & Magda, Robert, 2021. "Estimation Of Armington Elasticities: Case Of Vegetables In Mongolia," APSTRACT: Applied Studies in Agribusiness and Commerce, AGRIMBA, vol. 15(1-2), June.
    6. Schnettler, Berta & Sánchez, Mercedes & Orellana, Ligia & Sepúlveda, José, 2013. "Country of origin and ethnocentrism: a review from the perspective of food consumption," Economia Agraria y Recursos Naturales, Spanish Association of Agricultural Economists, vol. 17.
    7. Soon, Byung Min & Thompson, Wyatt, 2017. "Testing for Persistent Japanese Beef Trade Impacts from BSE Using a Time-Varying Armington Model," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 259150, Agricultural and Applied Economics Association.
    8. Liu, Lan & Yue, Chengyan, 2013. "Investigating the impacts of time delays on trade," Food Policy, Elsevier, vol. 39(C), pages 108-114.
    9. Zhou, Li & Li, Lingzhi & Lei, Lei, 2019. "Avian influenza, non-tariff measures and the poultry exports of China," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 63(1), January.
    10. Ari Rudatin, 2016. "Analysis on Indonesia’s beef import," Economic Journal of Emerging Markets, Universitas Islam Indonesia, vol. 8(1), pages 65-72, April.
    11. Taha, Fawzi A. & Hahn, William F., 2012. "Modeling South Africa’s Meat Import Demand System," 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington 124582, Agricultural and Applied Economics Association.
    12. Schnettler, Berta & Sánchez, Mercedes & Orellana, Ligia & Sepúlveda, José, 2013. "Country of origin and ethnocentrism: a review from the perspective of food consumption," Economi­a Agraria (Revista Economia Agraria), Agrarian Economist Association (AEA), Chile, vol. 17, pages 1-17, December.
    13. Kawashima, Shigekazu & Sari, Deffi Ayu Puspito, 2010. "Time-varying Armington elasticity and country-of-origin bias: from the dynamic perspective of the Japanese demand for beef imports," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 54(1), pages 1-15.
    14. Takahashi, Kohya & Maeda, Koshi, 2018. "Impacts of the TPP Agreement on Beef Demand in Japan: An Analysis by Class," Japanese Journal of Agricultural Economics (formerly Japanese Journal of Rural Economics), Agricultural Economics Society of Japan (AESJ), vol. 20.
    15. Shigekazu Kawashima & Deffi Ayu Puspito Sari, 2010. "Time-varying Armington elasticity and country-of-origin bias: from the dynamic perspective of the Japanese demand for beef imports," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 54(1), pages 27-41, January.
    16. Taha, Fawzi A. & Hahn, William F., 2015. "Factors Driving South African Poultry and Meat Imports," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 18(A), pages 1-18, July.
    17. Lei, Lei & Zhou, Li, 2017. "Avian influenza, nontariff measures, and the poultry exports in the global value chain," IDE Discussion Papers 640, Institute of Developing Economies, Japan External Trade Organization(JETRO).
    18. Li, Yuming, 1998. "Expected stock returns, risk premiums and volatilities of economic factors1," Journal of Empirical Finance, Elsevier, vol. 5(2), pages 69-97, June.
    19. Peter Harasztosi & Attila Lindner, 2019. "Who Pays for the Minimum Wage?," American Economic Review, American Economic Association, vol. 109(8), pages 2693-2727, August.
    20. Anders Johansson, 2009. "An analysis of dynamic risk in the Greater China equity markets," Journal of Chinese Economic and Business Studies, Taylor & Francis Journals, vol. 7(3), pages 299-320.

    More about this item

    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:wly:agribz:v:36:y:2020:i:3:p:385-401. 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: Wiley Content Delivery (email available below). General contact details of provider: http://onlinelibrary.wiley.com/journal/10.1002/(ISSN)1520-6297 .

    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.