The delayed surplus response for hops related to market dynamics
The cyclical nature of hop market pricing has been recorded since the 16th century, but the effect had never previously been documented or quantified. Using Bayesian inference in an analysis of data regarding the US hop industry collected and published by the United States Department of Agriculture...
| Main Authors: | , |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
Czech Academy of Agricultural Sciences
2022-01-01
|
| Series: | Agricultural Economics (AGRICECON) |
| Subjects: | |
| Online Access: | https://agricecon.agriculturejournals.cz/artkey/age-202208-0002_the-delayed-surplus-response-for-hops-related-to-market-dynamics.php |
| _version_ | 1797899965618454528 |
|---|---|
| author | Douglas MacKinnon Martin Pavlovič |
| author_facet | Douglas MacKinnon Martin Pavlovič |
| author_sort | Douglas MacKinnon |
| collection | DOAJ |
| description | The cyclical nature of hop market pricing has been recorded since the 16th century, but the effect had never previously been documented or quantified. Using Bayesian inference in an analysis of data regarding the US hop industry collected and published by the United States Department of Agriculture (USDA) it was possible to measure the change of inventory and acreage responsiveness to price during periods of free and markets regulated through the enforcement of intellectual property rights (IPR). The data demonstrated a delayed, reduced, or total lack of responsiveness in the change of direction of acreage and inventory in response to directional changes in season average price (SAP) during free market periods. This reaction was referred to as the delayed surplus response (DSR). The data also demonstrated the absence of the DSR during periods in which proprietary varieties reached greater than 50% of US acreage and production. Patented plant varieties offer a legal monopoly over that intellectual property (IP). The absence of the DSR during periods in which a majority of US acreage and production were proprietary indicated a strong degree of control over supply. By extension, the owners of proprietary varieties demonstrated the ability to influence price at desired levels. |
| first_indexed | 2024-04-10T08:37:14Z |
| format | Article |
| id | doaj.art-a0fee685b3c64219887300f88532aec6 |
| institution | Directory Open Access Journal |
| issn | 0139-570X 1805-9295 |
| language | English |
| last_indexed | 2024-04-10T08:37:14Z |
| publishDate | 2022-01-01 |
| publisher | Czech Academy of Agricultural Sciences |
| record_format | Article |
| series | Agricultural Economics (AGRICECON) |
| spelling | doaj.art-a0fee685b3c64219887300f88532aec62023-02-23T03:25:37ZengCzech Academy of Agricultural SciencesAgricultural Economics (AGRICECON)0139-570X1805-92952022-01-0168829329810.17221/156/2022-AGRICECONage-202208-0002The delayed surplus response for hops related to market dynamicsDouglas MacKinnon0Martin Pavlovič1Department of Agriculture Economics and Rural Development, Faculty of Agriculture and Life Sciences, University of Maribor, Maribor, SloveniaDepartment of Agriculture Economics and Rural Development, Faculty of Agriculture and Life Sciences, University of Maribor, Maribor, SloveniaThe cyclical nature of hop market pricing has been recorded since the 16th century, but the effect had never previously been documented or quantified. Using Bayesian inference in an analysis of data regarding the US hop industry collected and published by the United States Department of Agriculture (USDA) it was possible to measure the change of inventory and acreage responsiveness to price during periods of free and markets regulated through the enforcement of intellectual property rights (IPR). The data demonstrated a delayed, reduced, or total lack of responsiveness in the change of direction of acreage and inventory in response to directional changes in season average price (SAP) during free market periods. This reaction was referred to as the delayed surplus response (DSR). The data also demonstrated the absence of the DSR during periods in which proprietary varieties reached greater than 50% of US acreage and production. Patented plant varieties offer a legal monopoly over that intellectual property (IP). The absence of the DSR during periods in which a majority of US acreage and production were proprietary indicated a strong degree of control over supply. By extension, the owners of proprietary varieties demonstrated the ability to influence price at desired levels.https://agricecon.agriculturejournals.cz/artkey/age-202208-0002_the-delayed-surplus-response-for-hops-related-to-market-dynamics.phpbayesian inferencebrewing industrydisequilibriumhop marketproprietary variety |
| spellingShingle | Douglas MacKinnon Martin Pavlovič The delayed surplus response for hops related to market dynamics Agricultural Economics (AGRICECON) bayesian inference brewing industry disequilibrium hop market proprietary variety |
| title | The delayed surplus response for hops related to market dynamics |
| title_full | The delayed surplus response for hops related to market dynamics |
| title_fullStr | The delayed surplus response for hops related to market dynamics |
| title_full_unstemmed | The delayed surplus response for hops related to market dynamics |
| title_short | The delayed surplus response for hops related to market dynamics |
| title_sort | delayed surplus response for hops related to market dynamics |
| topic | bayesian inference brewing industry disequilibrium hop market proprietary variety |
| url | https://agricecon.agriculturejournals.cz/artkey/age-202208-0002_the-delayed-surplus-response-for-hops-related-to-market-dynamics.php |
| work_keys_str_mv | AT douglasmackinnon thedelayedsurplusresponseforhopsrelatedtomarketdynamics AT martinpavlovic thedelayedsurplusresponseforhopsrelatedtomarketdynamics AT douglasmackinnon delayedsurplusresponseforhopsrelatedtomarketdynamics AT martinpavlovic delayedsurplusresponseforhopsrelatedtomarketdynamics |