A Test for Market Power Using Marginal Input and Output Prices With Application to the U.S. Beef Processing Industry

1999 ◽  
Vol 81 (3) ◽  
pp. 638-643 ◽  
Author(s):  
Mary K. Muth ◽  
Michael K. Wohlgenant
Keyword(s):  
Market Power ◽  
Processing Industry ◽  
Beef Processing ◽  
Input And Output ◽  
The U.S

scholarly journals Market Power in the Irish Beef Processing Industry

2021 ◽  
Vol 13 (11) ◽  
pp. 6453
Author(s):  
Rao Fu ◽  
Chenguang Li ◽  
Liming Wang
Keyword(s):  
Market Power ◽  
Marginal Cost ◽  
Supply And Demand ◽  
Beef Industry ◽  
Processing Industry ◽  
Demand Functions ◽  
Export Orientation ◽  
Beef Processing ◽  
Empirical Industrial Organization ◽  
Cattle Farms

Irish beef processors and cattle farmers have been involved in a lasting controversy on power asymmetry. This paper estimates the degree of market power in the Irish beef processing industry. The New Empirical Industrial Organization approach is extended for estimation, and the market power is testified by conjectural elasticity with supply and demand functions, indicating that beef processors exert a significant market power on cattle farms. Export-orientation and high subsidies are two outstanding features in the Irish beef industry. Exports and subsidies are shown in this paper to have an insignificant influence on market power. This paper confirms that beef processors can exercise market power on farmers to lower prices below the marginal cost.

Futures Markets and Marketing Firms: The U.S. Soybean‐Processing Industry

1992 ◽  
Vol 74 (3) ◽  
pp. 716-725 ◽  
Author(s):  
Sergio H. Lence ◽  
Dermot J. Hayes ◽  
William H. Meyers
Keyword(s):  
Futures Markets ◽  
Processing Industry ◽  
Soybean Processing ◽  
Marketing Firms ◽  
The U.S

Estimating bilateral market power of processors and retailers in the U.S. beef industry

Agribusiness ◽  
2018 ◽  
Vol 34 (4) ◽  
pp. 771-792 ◽  
Author(s):  
Chanjin Chung ◽  
Seongjin Park ◽  
Jungmin Lee
Keyword(s):  
Market Power ◽  
Beef Industry ◽  
The U.S

A dynamic model of oligopoly and oligopsony in the U.S. potato-processing industry

Agribusiness ◽  
2005 ◽  
Vol 21 (3) ◽  
pp. 409-428 ◽  
Author(s):  
Ani L. Katchova ◽  
Ian M. Sheldon ◽  
Mario J. Miranda
Keyword(s):  
Dynamic Model ◽  
Potato Processing ◽  
Processing Industry ◽  
The U.S

Energy Efficiency Opportunities in the U.S. Dairy Processing Industry

2014 ◽  
Vol 111 (5) ◽  
pp. 7-34 ◽  
Author(s):  
Eric Masanet ◽  
Adrian Brush ◽  
Ernst Worrell
Keyword(s):  
Energy Efficiency ◽  
Processing Industry ◽  
Dairy Processing ◽  
The U.S

Market power among physicians in the U.S., 1983–1991

1998 ◽  
Vol 38 (4) ◽  
pp. 799-824 ◽  
Author(s):  
Barry J. Seldon ◽  
Chulho Jung ◽  
Roberto J. Cavazos
Keyword(s):  
Market Power ◽  
The U.S

Is China's dairy processing industry oligopolistic and/or oligopsonistic?

2014 ◽  
Vol 6 (4) ◽  
pp. 644-653 ◽  
Author(s):  
Jiawu Dai ◽  
Xiuqing Wang
Keyword(s):  
Market Power ◽  
Food Industry ◽  
Dairy Farm ◽  
Raw Milk ◽  
Processing Industry ◽  
New Approach ◽  
Content Type ◽  
Dairy Processing ◽  
Primal Dual ◽  
Oligopsony Power

Purpose – Complaints about lower agricultural farm-gate price and higher consumer price have emerged in China in recent years. The large gap between dairy farm-gate price and consumer price gives rise to worries that China's dairy industry is characterized by strong degree of oligopoly. The purpose of this paper is to take the dairy processing industry as an epitome of China's food industry, and use a new approach to investigate whether it is oligopolistic and/or oligopsonistic. Design/methodology/approach – Based on a new proposed Primal-Dual Solow Residual model, the authors first test the hypothesis that there are significant oligopoly and oligopsony powers in China's dairy sector, and the latter is stronger. The authors then turn to measure these two kinds of market power using regressions of the model. Findings – The estimation results show that firms in the sector have both strong oligopoly and oligopsony power, but the latter is stronger than the former. Meanwhile, with the continuous reinforcement of competition in China's dairy sector, market power in both the upstream and downstream has decreased slightly. Originality/value – This paper is the first to simultaneously test oligopoly and oligopsony power in China's dairy sector. The empirical results explicitly imply that more attention should be paid to the raw milk purchase market.

scholarly journals Corporate Diversification

1994 ◽  
Vol 8 (3) ◽  
pp. 163-178 ◽  
Author(s):  
Cynthia A Montgomery
Keyword(s):  
Market Power ◽  
Empirical Research ◽  
Corporate Diversification ◽  
Excess Capacity ◽  
Diversified Firms ◽  
The U.S

This paper documents the significant presence of diversified firms in the U.S. economy and presents three views on why firms diversify. The market power view argues that firms diversify to wield conglomerate power across markets. The agency view argues that diversification is undertaken by managers pursuing their own interests at the expense of the firm's owners. The resource view argues that firms diversify in response to excess capacity in productive factors. A review of recent empirical research finds little support for the market-power view and a substantial amount of evidence that is consistent with the agency and resource views.

Sign in / Sign up

Export Citation Format

Share Document