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The Corn-Egg Price Transmission Mechanism

Published online by Cambridge University Press:  09 September 2016

Ronald A. Babula
National Aggregate Analysis Section, Economic Research Service, U.S. Department of Agriculture
David A. Bessler
Texas A&M University
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A vector autoregression (VAR) model of corn, farm egg, and retail egg prices is estimated and shocked with a corn price increase. Impulse responses in egg prices, t-statistics for the impulse responses, and decompositions of forecast error variance are presented. Analyses of results provide insights on the corn/egg price transmission mechanism and on how corn price shocks pulsate through the egg-related economy.

Copyright © Southern Agricultural Economics Association 1990

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