The paper presents a model developed to examine the effects of industry concentration on market power and cost efficiency in the seed industry. In addition, the paper presents preliminary measures of the relative strengths of these effects for the case of the U.S. corn seed industry over the past 3 decades. The model uses conjectural elasticities and is estimated using data collected from USDA sources. The empirical results allow us to distinguish between the market power and cost effects of concentration, and to ascertain the tradeoff between the cost efficiency and market power resulting from higher concentration in the corn seed industry.
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Paper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2002 Annual meeting, July 28-31, Long Beach, CA with number
19877.
Length: Date of creation: 2002 Date of revision: Handle: RePEc:ags:aaea02:19877
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References listed on IDEAS Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
Cowling, Keith & Waterson, Michael, 1976.
"Price-Cost Margins and Market Structure,"
Economica,
London School of Economics and Political Science, vol. 43(171), pages 267-74, August.
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