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HORIZONTAL AND VERTICAL INTRA-INDUSTRY TRADE IN THE PROCESSED FOOD SECTOR AgEcon
Frahan, Bruno Henry de; Tharakan, Joe.
For the first time in the food trade literature, the determinants of intra-industry trade (IIT) in horizontally differentiated products and vertically differentiated products are separately tested using the most recent theoretical models of IIT. For both 1980 and 1990, the econometric results confirm country- and industry- specific determinants proposed by these models for explaining horizontal and vertical IIT in the European processed food sector.
Tipo: Conference Paper or Presentation Palavras-chave: Intra-industry trade; Horizontal differentiation; Vertical differentiation; Processed food sector; European Union; Agribusiness; Industrial Organization.
Ano: 1998 URL: http://purl.umn.edu/20903
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Retail Prices for Milk by Fat Content: A New Theory and Empirical Test of Retailer Pricing Behavior AgEcon
Xia, Tian; Sexton, Richard J..
We study a heretofore unexamined type of product differentiation, horizontally differentiated products with differential costs, and apply the analysis to retail pricing of fluid milk products. The theoretical models yield unique predictions for the relationship among prices of the four horizontally differentiated fluid milk products (skim, 1%, 2%, and whole milk) and the impacts of butterfat and nonfat milk costs on prices, depending upon the form of retail competition. An empirical analysis of retail milk pricing for four major cities in California enables tests to be conducted of which form of behavior best characterizes grocery retailing in these cities.
Tipo: Report Palavras-chave: Differential costs; Horizontal differentiation; Milk; Oligopoly; Retail pricing; Demand and Price Analysis; Livestock Production/Industries.
Ano: 2009 URL: http://purl.umn.edu/54546
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Local Buyer Market Power and Horizontally Differentiated Manufacturers AgEcon
Wang, Shinn-Shyr; Rojas, Christian; Lavoie, Nathalie.
In this paper we study a farmer-processor relationship, where market power is bidirectional: processors have buyer as well as seller market power. Farmers supply a homogeneous raw input to the processors, which, in turn, process it into a horizontally differentiated product. The analysis shows that the spread between prices that both parties receive can be decomposed into two components: one due to buyer market power in the agricultural input market and one due to seller market power in the differentiated processed market. Farmers receive a decreasing dollar share of the final price as concentration in the processed good market increases. On the other hand, the price spread due to processors' buyer (seller) market power decreases (increases) when farmers'...
Tipo: Conference Paper or Presentation Palavras-chave: Buyer market power; Horizontal differentiation; Agribusiness; Industrial Organization; Marketing; D43; L13; M31; Q13.
Ano: 2010 URL: http://purl.umn.edu/61990
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