Multiple-regime price transmission between wheat and wheat flour prices in Korea
In order to derive the evidence of the asymmetric price transmission, we employed the threshold estimation for the price relationship between the imported wheat and the wheat flour prices. We estimated the exact level of threshold points of the imported wheat price that have different impacts on the...
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| Format: | Article |
| Language: | English |
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Czech Academy of Agricultural Sciences
2015-12-01
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| Series: | Agricultural Economics (AGRICECON) |
| Subjects: | |
| Online Access: | https://agricecon.agriculturejournals.cz/artkey/age-201512-0003_multiple-regime-price-transmission-between-wheat-and-wheat-flour-prices-in-korea.php |
| _version_ | 1797900013257359360 |
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| author | Jung Hun HAN Byeong-Il AHN |
| author_facet | Jung Hun HAN Byeong-Il AHN |
| author_sort | Jung Hun HAN |
| collection | DOAJ |
| description | In order to derive the evidence of the asymmetric price transmission, we employed the threshold estimation for the price relationship between the imported wheat and the wheat flour prices. We estimated the exact level of threshold points of the imported wheat price that have different impacts on the Korean wheat flour price. Our empirical estimations proved the main hypothesis of this study, namely, that the impact of input price on output price is stronger at higher levels of the input price. In the sub-sample, which includes data from January 1993 to January 2008, the price transmission effect from the imported wheat to the domestic wheat flour in the Regime 3, in which wheat prices are the highest among our three regimes, is larger than that in the Regime 2. In the whole sample, which includes data from January 1993 to March 2014, the price transmission effect in the Regime 3 is larger than that in the Regime 2, and that of the Regime 2 is larger than that of the Regime 1. |
| first_indexed | 2024-04-10T08:38:04Z |
| format | Article |
| id | doaj.art-4c85bee9ea3c4c1bb591e065a2f23f36 |
| institution | Directory Open Access Journal |
| issn | 0139-570X 1805-9295 |
| language | English |
| last_indexed | 2024-04-10T08:38:04Z |
| publishDate | 2015-12-01 |
| publisher | Czech Academy of Agricultural Sciences |
| record_format | Article |
| series | Agricultural Economics (AGRICECON) |
| spelling | doaj.art-4c85bee9ea3c4c1bb591e065a2f23f362023-02-23T03:24:38ZengCzech Academy of Agricultural SciencesAgricultural Economics (AGRICECON)0139-570X1805-92952015-12-01611255256310.17221/47/2015-AGRICECONage-201512-0003Multiple-regime price transmission between wheat and wheat flour prices in KoreaJung Hun HAN0Byeong-Il AHN1Korea Rural Economic Institute, Naju, KoreaDepartment of Food and Resource Economics, Korea University, Seoul, KoreaIn order to derive the evidence of the asymmetric price transmission, we employed the threshold estimation for the price relationship between the imported wheat and the wheat flour prices. We estimated the exact level of threshold points of the imported wheat price that have different impacts on the Korean wheat flour price. Our empirical estimations proved the main hypothesis of this study, namely, that the impact of input price on output price is stronger at higher levels of the input price. In the sub-sample, which includes data from January 1993 to January 2008, the price transmission effect from the imported wheat to the domestic wheat flour in the Regime 3, in which wheat prices are the highest among our three regimes, is larger than that in the Regime 2. In the whole sample, which includes data from January 1993 to March 2014, the price transmission effect in the Regime 3 is larger than that in the Regime 2, and that of the Regime 2 is larger than that of the Regime 1.https://agricecon.agriculturejournals.cz/artkey/age-201512-0003_multiple-regime-price-transmission-between-wheat-and-wheat-flour-prices-in-korea.phpasymmetric price transmissionprice equationreduced formthreshold estimation |
| spellingShingle | Jung Hun HAN Byeong-Il AHN Multiple-regime price transmission between wheat and wheat flour prices in Korea Agricultural Economics (AGRICECON) asymmetric price transmission price equation reduced form threshold estimation |
| title | Multiple-regime price transmission between wheat and wheat flour prices in Korea |
| title_full | Multiple-regime price transmission between wheat and wheat flour prices in Korea |
| title_fullStr | Multiple-regime price transmission between wheat and wheat flour prices in Korea |
| title_full_unstemmed | Multiple-regime price transmission between wheat and wheat flour prices in Korea |
| title_short | Multiple-regime price transmission between wheat and wheat flour prices in Korea |
| title_sort | multiple regime price transmission between wheat and wheat flour prices in korea |
| topic | asymmetric price transmission price equation reduced form threshold estimation |
| url | https://agricecon.agriculturejournals.cz/artkey/age-201512-0003_multiple-regime-price-transmission-between-wheat-and-wheat-flour-prices-in-korea.php |
| work_keys_str_mv | AT junghunhan multipleregimepricetransmissionbetweenwheatandwheatflourpricesinkorea AT byeongilahn multipleregimepricetransmissionbetweenwheatandwheatflourpricesinkorea |