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The Evolution of the Pricing Mechanism in the Polish Vegetable Markets: An Empirical Test

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  • Wojciech J. Florkowski
  • Abdelmoneim H. Elnagheeb

Abstract

Changes in price interaction between farmers' markets and retail stores were traced for Poland's vegetable markets. The vegetable market has been functioning within a competitive framework since the late 1950's. Using monthly price observations for cabbage, onions, potatoes, and carrots, the Granger causality test was applied to test the lead/lag relationship between the two types of outlets. Unidirectional causality test results indicate that a gradual price interaction occurred among the vegetable prices starting in the period of 1974 to 1979 and increased noticeably during the 1980's. This slowly unfolding process was a contributing factor in the forcing of economic liberalization.

Suggested Citation

  • Wojciech J. Florkowski & Abdelmoneim H. Elnagheeb, 1993. "The Evolution of the Pricing Mechanism in the Polish Vegetable Markets: An Empirical Test," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 15(1), pages 1-8.
    • Handle: RePEc:oup:revage:v:15:y:1993:i:1:p:1-8.
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