Price Transmission in Yam Markets in Côte d’Ivoire
- Eza Soumaley Sylvie
- N’Goran Koffi Celestin
Abstract
Many studies have shown that rising prices are not transmitted in the same way as falling prices and vice versa. There is an asymmetry in price transmission between agricultural commodity markets that is an important issue in household food security. The main objective of this study is to examine the nature of price transmission in yam markets in Côte d’Ivoire. To do so, two regression models were used, namely the Ordinary Least Squares (OLS) method and Vector autoregressive (VAR) model. The results revealed that a variation in prices on Abengourou and Korhogo markets affects the price on the Abidjan market even though trade between these markets is not direct. Similarly, the price one month later on Abidjan market is affected by its past price and that of Korhogo market one month earlier. As recommendation, the study suggests that the government should strengthen and improve road infrastructure as well as communication networks to enhance trade between markets.
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- DOI:10.5539/jas.v13n10p152
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