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Food competition in world markets: Some evidence from a panel data analysis of top exporting countries

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  • Donatella Baiardi

    ()
    (Department of Economics, Quantitative Methods and Business Strategies, University of Milano-Bicocca)

  • Carluccio Bianchi

    ()
    (Department of Economics and Management, University of Pavia)

  • Eleonora Lorenzini

    ()
    (Department of Economics and Management, University of Pavia)

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    Abstract

    This paper investigates the relevance of relative prices and world income as determinants of food exports for the top trading countries in the period 1992-2012 using a panel data framework. A distinction between processed and unprocessed goods is drawn and, within this last category, a specific focus on commodities is made. We find that price elasticities generally take lower values for processed goods, and the opposite holds for income elasticities. Processed goods are also characterized by an inverse relationship between price elasticities and average unit values. The overall analysis leads to the conclusion that both emerging and advanced countries should increase their export specialization in processed goods. Furthermore, developed economies could face the fierce competition from emerging countries by enhancing the quality content of their processed goods exports.

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    File URL: http://economia.unipv.it/docs/dipeco/quad/ps/RePEc/pav/demwpp/DEMWP0083.pdf
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    Bibliographic Info

    Paper provided by University of Pavia, Department of Economics and Management in its series DEM Working Papers Series with number 083.

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    Length: 45 pages
    Date of creation: Jul 2014
    Date of revision:
    Handle: RePEc:pav:demwpp:083

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    Related research

    Keywords: Food Exports; Price and Income elasticities; Cross-country comparisons; Panel data analysis; Panel Granger causality;

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