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Asymmetric price transmission in the greek agri-food sector: some tests

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  • Ioanna Reziti

    (Centre of Planning and Economic Research, Amerikis 11, 10672, Athens, Greece)

  • Yannis Panagopoulos

    (Centre of Planning and Economic Research, Amerikis 11, 10672, Athens, Greece)

Abstract

This article employs a general-to-specific approach to analyze the price transmission mechanism between producers and consumers in the Greek agri-food sector. More specifically, the markets examined are vegetables, fruits and the whole food. Using cointegration techniques, two alternative dynamic models are estimated: an error correction model (ECM) and a LSE-Hendry general-to-specific model (GETS). The results indicate the existence of a long-run Granger-causality relationship running from producers to consumers in the vegetables market, while the opposite applies for food and fruits. In addition, asymmetric price transmission appears to apply for food and vegetables, but not for the fruit case. Both models agree upon the asymmetric nature of food and the symmetric nature of fruits but disagree for the case of vegetables. [JEL Classification: Q110, Q130] © 2008 Wiley Periodicals, Inc.

Suggested Citation

  • Ioanna Reziti & Yannis Panagopoulos, 2008. "Asymmetric price transmission in the greek agri-food sector: some tests," Agribusiness, John Wiley & Sons, Ltd., vol. 24(1), pages 16-30.
  • Handle: RePEc:wly:agribz:v:24:y:2008:i:1:p:16-30
    DOI: 10.1002/agr.20144
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    Cited by:

    1. Bakucs, Lajos Zoltan & Falkowski, Jan & Ferto, Imre, 2012. "What causes asymmetric price transmission in agro-food sector? Meta-analysis perspective," 86th Annual Conference, April 16-18, 2012, Warwick University, Coventry, UK 134765, Agricultural Economics Society.
    2. Fabio Gaetano Santeramo, 2015. "Price Transmission in the European Tomatoes and Cauliflowers Sectors," Agribusiness, John Wiley & Sons, Ltd., vol. 31(3), pages 399-413, June.
    3. Jorge Fidel BARAHONA & Bernardo TREJOS & Jai Wei LEE & Wanvilai CHULAPHAN & Chalermpon JATUPORN, 2013. "Asymmetric Price Transmission in the Artisan Dairy Industry of Honduras," Asian Journal of Empirical Research, Asian Economic and Social Society, vol. 3(7), pages 851-859, July.
    4. Rezitis Anthony N. & Pachis Dimitris N., 2016. "Investigating the Price Transmission Mechanisms of Greek Fresh Potatoes, Tomatoes and Cucumbers Markets," Journal of Agricultural & Food Industrial Organization, De Gruyter, vol. 14(1), pages 91-108, May.

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