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The effect of buyers and sellers on fish market prices

Author

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  • Laurent Gobillon

    (PSE - Paris School of Economics - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement)

  • François-Charles Wolff

    (LEMNA - Laboratoire d'économie et de management de Nantes Atlantique - IEMN-IAE Nantes - Institut d'Économie et de Management de Nantes - Institut d'Administration des Entreprises - Nantes - UN - Université de Nantes)

  • Patrice Guillotreau

    (LEMNA - Laboratoire d'économie et de management de Nantes Atlantique - IEMN-IAE Nantes - Institut d'Économie et de Management de Nantes - Institut d'Administration des Entreprises - Nantes - UN - Université de Nantes)

Abstract

This paper extends the traditional hedonic price specification to take into account the unobserved heterogeneity of sellers, buyers and seller-buyer matches. The specification is estimated using econometric techniques for non-nested panel data models on a data set of nearly 15 million transactions occurring in French wholesale fish markets over the 2002-2007 period. Results show that unobserved heterogeneity plays a significant role in price setting. For some species, its inclusion in price regressions changes the coefficients of quality-related fish characteristics. Fish characteristics are the main factors explaining price variations for many species, but time and buyer effects also play a significant role.

Suggested Citation

  • Laurent Gobillon & François-Charles Wolff & Patrice Guillotreau, 2017. "The effect of buyers and sellers on fish market prices," Post-Print hal-03914098, HAL.
    • Handle: RePEc:hal:journl:hal-03914098
    DOI: 10.1093/erae/jbw006
    Note: View the original document on HAL open archive server: https://hal.science/hal-03914098
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    Cited by:

    1. François-Charles Wolff & Frédéric Salladarré, 2022. "A first-sale price index of seafood products," Post-Print hal-03913085, HAL.
    2. Gobillon, Laurent & Wolff, François-Charles, 2020. "The local effects of an innovation: Evidence from the French fish market," Ecological Economics, Elsevier, vol. 171(C).
    3. Anderson, James L. & Asche, Frank & Garlock, Taryn, 2018. "Globalization and commoditization: The transformation of the seafood market," Journal of Commodity Markets, Elsevier, vol. 12(C), pages 2-8.
    4. Wolff, François-Charles & Asche, Frank, 2022. "Pricing heterogeneity and transaction mode: Evidence from the French fish market," Journal of Economic Behavior & Organization, Elsevier, vol. 203(C), pages 67-79.
    5. Stefan Seifert & Silke Hüttel, 2023. "Is there a risk of a winner’s curse in farmland auctions?," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 50(3), pages 1140-1177.
    6. Damian Boniface Sambuo & Stephen Kirama & Kitala Malamsha, 2021. "Fish Price Determination Around Lake Victoria, Tanzania: Analysis of Factors Affecting Fish Landing Price," Global Business Review, International Management Institute, vol. 22(2), pages 348-363, April.
    7. Sogn-Grundvåg, Geir & Zhang, Dengjun, 2023. "Commodities failing in auctions: The story of unsold cod in Norway," Journal of Commodity Markets, Elsevier, vol. 29(C).
    8. Marceliano Rodriguez & Domingo Calvo-Dopico & Estefanía Mourelle, 2021. "Impact of stock health on fish prices: Evaluation and implications for food accessibility," PLOS ONE, Public Library of Science, vol. 16(12), pages 1-16, December.
    9. Asche, Frank & Bronnmann, Julia & Cojocaru, Andreea L., 2021. "The value of responsibly farmed fish: A hedonic price study of ASC-certified whitefish," Ecological Economics, Elsevier, vol. 188(C).
    10. Asche, Frank & Cojocaru, Andreea L. & Gaasland, Ivar & Straume, Hans-Martin, 2018. "Cod stories: Trade dynamics and duration for Norwegian cod exports," Journal of Commodity Markets, Elsevier, vol. 12(C), pages 71-79.
    11. Damian Sambuo & Stephen Kirama & Kitala Malamsha, 2020. "Analysis of Fish Landing Price on Subjective Wellbeing of Fishers Around Lake Victoria, Tanzania," Journal of Happiness Studies, Springer, vol. 21(5), pages 1823-1839, June.

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    More about this item

    Keywords

    fish; commodity price; unobserved heterogeneity; variance analysis; panel data;
    All these keywords.

    JEL classification:

    • L11 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Production, Pricing, and Market Structure; Size Distribution of Firms
    • Q22 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Fishery

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