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Transmission Des Prix Et Asymétrie Sur Les Marchés De Produits Vivriers Au Bénin

Author

Listed:
  • Rose FIAMOHE

    (Africa Rice Center (AfricaRice), 01 BP 2031 Cotonou, Benin)

  • Bruno HENRY de FRAHAN

    (Earth and Life Institute, Université catholique de Louvain, Place de la Croix du Sud 2, 1348 Louvain-la-Neuve, Belgique)

Abstract

This paper examines price transmission between the retail market of Cotonou and rural markets of several food products in Benin. The use of Enders and Granger asymmetric model on the monthly price series from 1990 to 2005 shows that most rural food markets are symmetrically integrated to the retail market. The speed of price adjustments on the rural markets is however greater than the speed of price adjustments on the retail market of Cotonou. Merchant associations that are more active in the rural markets could explain such results. By consolidating their supply and chartering together their shipments, merchant associations facilitate trade between markets despite high transaction costs resulting from distances between markets and low quality of the road network. Through agreements on buying and selling prices of food products, these merchant associations exercise some market power on these markets.

Suggested Citation

  • Rose FIAMOHE & Bruno HENRY de FRAHAN, 2012. "Transmission Des Prix Et Asymétrie Sur Les Marchés De Produits Vivriers Au Bénin," Region et Developpement, Region et Developpement, LEAD, Universite du Sud - Toulon Var, vol. 36, pages 205-228.
    • Handle: RePEc:tou:journl:v:36:y:2012:p:205-228
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    References listed on IDEAS

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    Cited by:

    1. Yovo, Koffi & Adabe, Kokou Edoh, 2022. "Asymmetry and transmission of international price shocks of cocoa and coffee in Togo," African Journal of Agricultural and Resource Economics, African Association of Agricultural Economists, vol. 17(1), March.

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    More about this item

    Keywords

    PRICE TRANSMISSION; ASYMMETRY; FOOD MARKETS; MERCHANT ASSOCIATION; COTONOU; BENIN;
    All these keywords.

    JEL classification:

    • C32 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes; State Space Models
    • D43 - Microeconomics - - Market Structure, Pricing, and Design - - - Oligopoly and Other Forms of Market Imperfection
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa
    • Q13 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Markets and Marketing; Cooperatives; Agribusiness

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