{"id":5670,"date":"2008-01-01T01:01:01","date_gmt":"2008-01-01T01:01:01","guid":{"rendered":"http:\/\/export.maxmaziy.php.nixsolutions.com\/?p=4963"},"modified":"2008-01-01T01:01:01","modified_gmt":"2008-01-01T01:01:01","slug":"incorporating-structural-changes-in-agricultural-and-food-price-analysis-an-application-to-the-u-s-beef-and-pork-sectors","status":"publish","type":"post","link":"http:\/\/prairieswine.com\/rsc\/incorporating-structural-changes-in-agricultural-and-food-price-analysis-an-application-to-the-u-s-beef-and-pork-sectors\/","title":{"rendered":"Incorporating Structural Changes in Agricultural and Food Price Analysis: An Application to the U.S. Beef and Pork Sectors"},"content":{"rendered":"<p>This paper proposes a protocol for agricultural and food price analysis, which goes beyond the existing practices of focusing on the time series properties of the variables in question, such as the existence of a unit root and of a<br \/>\ncointegrating relationship among nonstationary prices, by entertaining structural breaks when conducting those tests. Specifically, this study applies Perron\u2019s unit root test and Gregory and Hansen\u2019s cointegration<br \/>\ntest (both of which allow for structural change of unknown timing) to the U.S. beef\/cattle prices<br \/>\nand pork\/hog prices. To obtain consistent estimates of the break dates in the retail beef,<br \/>\nwholesale beef and farm cattle price linkage equation and those in the retail pork, wholesale pork<br \/>\nand farm hog price relationship, the study employs Bai and Perron\u2019s and Kejriwal and Perron\u2019s<br \/>\nglobal sum of squares minimization procedure to search for the optimal break dates, utilizing the<br \/>\nprinciple of dynamic programming to ease the computation burden. The empirical results strongly suggest that beef\/cattle prices are nonstationary, while there is ample evidence to support the conclusion that pork\/hog prices are stationary.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>This paper proposes a protocol for agricultural and food price analysis, which goes beyond the existing practices of focusing on the time series properties of the variables in question, such as the existence of a unit root and of a cointegrating relationship among nonstationary prices, by entertaining structural breaks when conducting those tests. Specifically, this [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7],"tags":[9037,9654,11425,8882,932,10033,20114,11658,11657,34,7545,16262,1324,7073,7074,4257,7075,14980,20911,1579,7076],"class_list":["post-5670","post","type-post","status-publish","format-standard","hentry","category-economics","tag-kejriwal-and-perron","tag-kejriwalandperron","tag-kejriwalcointegration","tag-al","tag-analysis","tag-arc","tag-conducting-on-farm-trials","tag-hansen","tag-hansen-swine","tag-hog","tag-optimal","tag-pl","tag-pork","tag-price-linkage","tag-price-relationship","tag-prices","tag-retail-pork","tag-search","tag-t","tag-test","tag-wholesale"],"_links":{"self":[{"href":"http:\/\/prairieswine.com\/rsc\/wp-json\/wp\/v2\/posts\/5670","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/prairieswine.com\/rsc\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/prairieswine.com\/rsc\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/prairieswine.com\/rsc\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/prairieswine.com\/rsc\/wp-json\/wp\/v2\/comments?post=5670"}],"version-history":[{"count":0,"href":"http:\/\/prairieswine.com\/rsc\/wp-json\/wp\/v2\/posts\/5670\/revisions"}],"wp:attachment":[{"href":"http:\/\/prairieswine.com\/rsc\/wp-json\/wp\/v2\/media?parent=5670"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/prairieswine.com\/rsc\/wp-json\/wp\/v2\/categories?post=5670"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/prairieswine.com\/rsc\/wp-json\/wp\/v2\/tags?post=5670"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}