Agriculture including food products is of particular interest for Ukraine. However, in free trade agreements involving the European Union, agriculture is always given special treatment and subject to less and slower liberalization than other sectors. This paper employs the standard Global Trade...

Analysis of price transmission in transition countries is often complicated by unstable policy environments. We use a Markov-switching vector error-correction model (MSVECM) to model multiple regime shifts in the relationship between wheat and wheat flour prices in Ukraine from June 2000 to...

This article investigates which factors influence the economic growth of organic farms. Organic farming has experienced a substantial growth in Germany since the beginning of the 1990s until today. Most organic farms are concentrated in the southern region of the country, Bavaria and...

The stickiness of prices and reasons for price changes are widely discussed in market analyses and marketing theory. Explanations and reasons of rigidities have shown that prices do not change as often in small retail stores and in markets with high concentration (Powers and Powers 2001, Hannan...

Recently, discussion about the appropriate estimation of gravity trade models has started in agriculture. Here, we are going to review recent developments in the literature. It appears that fixedeffects Poisson Pseudo Maximum Likelihood is not only the only consistent estimator [Santos Silva and...

Depletion of groundwater resources is an international problem, and groundwater is probably the world’s most extracted raw material. The agriculture sector is one of the biggest users of groundwater resources for irrigation activities, and it plays an important role in the depletion of these...

Recently gravity trade models are applied to disaggregated trade data. Here many zeros are characteristic. In the presence of excess zeros usual Poisson Pseudo Maximum Likelihood (PPML) is still consistent, the variance covariance matrix however is invalid. Correct economic interpretation...

Since 2000 Germany has introduced a fairly unique market mechanism to trade milk quotas between dairy farms. The two major features are: (1) a quasi auctioning system that produces excess demands which are covered by state reserves free of charge and (2) a price band that is used to exclude...