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Hog price transmission in Global markets: China EU and U.S

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  • Tan, Ying
  • Zapata, Hector O.

Abstract

This paper analyzes the twelve years monthly hog price data from the Chinese ,U.S, and EU markets. The study’s methodology includes cointegration tests and VECM, followed by tests for Granger Causality. The analysis provides a broad view of international hog markets price linkage and price transmission mechanism. There are several results: first, rather weak price linkages are found among the the three markets; second, China is the least price responsive and the EU is the most price responsive market; third, the hypothesis of Granger causality is confirmed between the Chinese and the EU market prices but not in both directions; fourth, U.S. hog prices responds noticeably to a shock in the EU price but mildly to the shocks in the Chinese hog price.

Suggested Citation

  • Tan, Ying & Zapata, Hector O., "undated". "Hog price transmission in Global markets: China EU and U.S," 2014 Annual Meeting, February 1-4, 2014, Dallas, Texas 162540, Southern Agricultural Economics Association.
    • Handle: RePEc:ags:saea14:162540
    DOI: 10.22004/ag.econ.162540
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    References listed on IDEAS

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    1. Froot, Kenneth A. & Rogoff, Kenneth, 1995. "Perspectives on PPP and long-run real exchange rates," Handbook of International Economics, in: G. M. Grossman & K. Rogoff (ed.), Handbook of International Economics, edition 1, volume 3, chapter 32, pages 1647-1688, Elsevier.
    2. Lance J. Bachmeier & James M. Griffin, 2003. "New Evidence on Asymmetric Gasoline Price Responses," The Review of Economics and Statistics, MIT Press, vol. 85(3), pages 772-776, August.
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    Cited by:

    1. Mu, Y., 2018. "Pork price transmission and efficiency in China," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277387, International Association of Agricultural Economists.

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