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Retail and Wholesale Market Power in Organic Foods AgEcon
Richards, Timothy J.; Acharya, Ram N.; Molina, Ignacio.
The demand for organic fresh fruits and vegetable continues to grow at a rate far higher than the rest of the produce industry. The cost of meeting organic certification standards, however, has meant that supply has been slow to adjust. With limited supply, we hypothesize that organic suppliers enjoy more market power in bargaining over their share of the retail-production cost margin for fresh apples. We test this hypothesis using a random parameters, generalized extreme value demand model (mixed logit) combined with a structural model of retail and wholesale pricing that allows conduct to vary by product attributes (organic or non-organic) and time. We find that organic growers do indeed earn a larger share of the total margin than non-organic...
Tipo: Conference Paper or Presentation Palavras-chave: Organics; Market power; Mixed logit; Game theory; Non-linear pricing.; Industrial Organization; C35; D12; D43; L13; L41; Q13..
Ano: 2009 URL: http://purl.umn.edu/49329
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Welfare Impacts of the Mexico Potato Quarantine AgEcon
Richards, Timothy J.; Molina, Ignacio; Hussein, Osman.
Under the North American Free Trade Agreement (NAFTA) tariffs on U.S. potato imports to Mexico were phased out by 1993. Citing phytosanitary issues, in 1996, the Mexican government placed quantitative restrictions on U.S. potato imports and restricted their import only to designated border areas. This article estimates the welfare cost of restricting U.S. potato imports into Mexico. We find that removing trade restrictions may lead to over 1.8 million tons of new imports into Mexico, a gain of consumer surplus of 4.0 billion pesos per year, and a loss of 2.9 billion pesos of producer surplus.
Tipo: Journal Article Palavras-chave: International trade; Non-tariff barriers; Potatoes; Quarantine; Sanitary and phytosanitary barriers; Welfare loss; Agribusiness; Agricultural and Food Policy; Crop Production/Industries; Environmental Economics and Policy; Food Consumption/Nutrition/Food Safety; Health Economics and Policy; International Relations/Trade; Political Economy; F13; L13; Q13; Q17; C35.
Ano: 2009 URL: http://purl.umn.edu/56661
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TESTING FOR A CHANGE IN CONSUMER TASTES FOR FRESH FRUITS AND VEGETABLES: A STRUCTURAL LATENT VARIABLE APPROACH AgEcon
Acharya, Ram N.; Molina, Ignacio.
This study uses a structural latent variable approach to examine whether the increased supply of health information has been successful in improving consumer tastes and preferences towards fruits and vegetables and if it has been successful in doing so, how this change in tastes is affecting the consumption of various produce commodities. The results show that consumers are responding to health messages by increasing consumption of some of the produce commodities but not all of them.
Tipo: Conference Paper or Presentation Palavras-chave: Institutional and Behavioral Economics.
Ano: 2004 URL: http://purl.umn.edu/20127
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