Tradability And Market Equilibrium For U.S.-Mexico Fresh Tomatoes
Tomato trade between the U.S. and Mexico has grown significantly during the past decade. This increased trade, together with major structural changes in US produce marketing channels, has increased the complexity of conducting analysis of market integration and equilibrium. This study implements an Extended Parity Bounds Model (EPBM), following the work of Barrett and Li, to examine fresh tomato trade relationships between major shipping points and terminal markets for Mexican imported and Florida and California tomatoes. Findings suggest that, although markets seem relatively integrated and efficient, there exist some potential for claims of inefficient or overly competitive behavior. As is expected, the more complex the marketing channels between producer and wholesaler (distance or international boundaries), the more likely that markets operate suboptimally.
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- Barrett, Christopher B. & Li, Jau-Rong & Bailey, DeeVon, 2000.
"Factor And Product Market Tradability And Equilibrium In Pacific Rim Pork Industries,"
Journal of Agricultural and Resource Economics,
Western Agricultural Economics Association, vol. 25(01), pages -, July.
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- Padilla-Bernal, Luz E. & Thilmany, Dawn D., 2000. "Mexican-U.S. Fresh Tomato Trade: An Analysis Of Volume, Prices And Transaction Costs," 2000 Annual Meeting, June 29-July 1, 2000, Vancouver, British Columbia 36445, Western Agricultural Economics Association.
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- Christopher B. Barrett, 1996. "Market Analysis Methods: Are Our Enriched Toolkits Well Suited to Enlivened Markets?," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(3), pages 825-829.
- Spiller, Pablo T & Huang, Cliff J, 1986. "On the Extent of the Market: Wholesale Gasoline in the Northeastern United States," Journal of Industrial Economics, Wiley Blackwell, vol. 35(2), pages 131-145, December.
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