IDEAS home Printed from https://ideas.repec.org/a/oup/ajagec/v94y2012i1p174-188.html
   My bibliography  Save this article

Multiple-Regime Spatial Price Transmission with an Application to Maize Markets in Southern Africa

Author

Listed:
  • Robert J. Myers
  • T.S. Jayne

Abstract

Conventional threshold models of price transmission allow for different speeds of adjustment to equilibria depending on the magnitude of price differentials between markets. However, these models typically assume only one underlying long-run equilibrium price relationship. In this article we develop a framework for allowing multiple equilibria and multiple speeds of adjustment with regime separation depending on the magnitude of trade flows between regions, rather than the magnitude of price differentials. Applying this framework to maize price transmission between South Africa and Zambia shows no transmission during periods of high imports, when the government was heavily involved in maize importation, but stronger transmission during periods of low imports when the government was not importing. Copyright 2012, Oxford University Press.

Suggested Citation

  • Robert J. Myers & T.S. Jayne, 2012. "Multiple-Regime Spatial Price Transmission with an Application to Maize Markets in Southern Africa," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 94(1), pages 174-188.
    • Handle: RePEc:oup:ajagec:v:94:y:2012:i:1:p:174-188
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1093/ajae/aar123
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    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:oup:ajagec:v:94:y:2012:i:1:p:174-188. 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.

    We have no bibliographic references for this item. You can help adding them by using 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: Oxford University Press (email available below). General contact details of provider: https://edirc.repec.org/data/aaeaaea.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.