A theoretical model is developed to explain the economics of determining price slides for feeder cattle. The contract is viewed as a dynamic game with continuous strategies where the buyer and seller are the players. The model provides a solution for the price slide that guarantees an unbiased...

While considerable research has estimated liquidity costs of futures trading, little comparable research is available about options markets. This study determines effective bid-ask spreads in options and futures markets for Kansas City Board of Trade (KCBT) wheat. Effective bid-ask spreads are...

The culture of private negotiation leads parties to agreements below a price that anchors beginning bids and offers. Possible anchors are a list price or suggested retail price. The anchor may be endogenous, e.g., the average reported trade price from previous trading activity. An endogenous...

A new demand system, the QGAITL model, nesting the quadratic almost ideal, translog and LES models as its special cases, is introduced and estimated in this paper. Employing urban household data of four major food items from Jiangsu China in 2001, empirical evidence from both in-sample...

This paper estimates an AIDS model and corrects for first-order autocorrelation using retail meat data. We fail to reject the null hypothesis of no BSE announcement effects.

This article focuses on quality adjustment of the U.S. Producer Price Index (PPI) for retail food stores. Within the retail trade sector, food stores make up 15.4% of the revenue generated in the sector. This article outlines methods of quality adjustment and applies a direct adjustment...

The key issues on the negotiation table in the agriculture sector are the elimination of export subsidies, a progressive reduction of tariffs and reduction in domestic support. However, it is observed that trade liberalization often involves moving from one set of distortions to another rather...

This study tackles the decomposition of efficiency with respect to agricultural production in transition economies by using a case study on small scale maize farmers in Romania. The underlying modelling assumption is that farmers in transition countries still face heavily distorted price...