Despite the vast number of works investigating price transmission (PT) processes in diverse agrifood markets, very little has been said about quality-differentiated products. In this paper, we compare the conventional and organic fluid milk sectors in Italy to better understand the economic organization and functioning of one of the most important agrifoods in Italy. Using a unique dataset featuring processor and retail (scanner) prices for the two types of milk, we estimate Momentum-Threshold Autoregressive models to account for asymmetric price movements in both sectors, but the PT results are eventually symmetric. The Vector Error Correction Model estimations and Impulse Response Functions analysis provide significant insights into the differences between the two markets. [EconLit citations: Q130, Q110, C590]
Price transmission dynamics for quality-certified food products: A comparison between conventional and organic fluid milk in Italy / Antonioli, Federico; Ben Kaabia, Monia; Arfini, Filippo; Maria Gil, José. - In: AGRIBUSSINES. - ISSN 1520-6297. - (2018). [10.1002/agr.21568]
Price transmission dynamics for quality-certified food products: A comparison between conventional and organic fluid milk in Italy
Federico Antonioli
Conceptualization
;Filippo Arfini
Investigation
;
2018-01-01
Abstract
Despite the vast number of works investigating price transmission (PT) processes in diverse agrifood markets, very little has been said about quality-differentiated products. In this paper, we compare the conventional and organic fluid milk sectors in Italy to better understand the economic organization and functioning of one of the most important agrifoods in Italy. Using a unique dataset featuring processor and retail (scanner) prices for the two types of milk, we estimate Momentum-Threshold Autoregressive models to account for asymmetric price movements in both sectors, but the PT results are eventually symmetric. The Vector Error Correction Model estimations and Impulse Response Functions analysis provide significant insights into the differences between the two markets. [EconLit citations: Q130, Q110, C590]I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.
