IDEAS home Printed from https://ideas.repec.org/a/eut/journl/v21y2017i1p169.html
   My bibliography  Save this article

Pass-Through Effects of Global Food Prices on Consumer Prices in Iran

Author

Listed:
  • Ebrahim Javdan

    (Department of Agricultural Economics, University of Tabriz, Iran.)

  • Jafar Haghighat

    (Department of Economics, University of Tabriz, Iran.)

  • Esmaeil Pishbahar

    (Department of Agricultural Economics, University of Tabriz, Iran.)

  • Phillip Kostov

    (University of Central Lancashire, Lancashire, UK.)

  • Rassul Mohammadrezaei

    (Department of Agricultural Economics, University of Tabriz, Iran.)

Abstract

The objective of this study is using the Markov Switching Vector Autoregressive method and regime dependent impulse response functions to measure the pass-through of world food prices to consumer price index in Iran from 1990 to 2013. With respect to information criteria and the log-likelihood ratio statistic, MSIA(2)-VAR(1) model has a better fit to data than other models. The magnitude of the passthrough in first and second regimes is respectively 0.43 and 0.94 after two years. We show that the magnitude of the pass-through from world food prices to consumer price index resulting from recent world food price shocks has been higher than before.

Suggested Citation

  • Ebrahim Javdan & Jafar Haghighat & Esmaeil Pishbahar & Phillip Kostov & Rassul Mohammadrezaei, 2017. "Pass-Through Effects of Global Food Prices on Consumer Prices in Iran," Iranian Economic Review (IER), Faculty of Economics,University of Tehran.Tehran,Iran, vol. 21(1), pages 169-180, Winter.
    • Handle: RePEc:eut:journl:v:21:y:2017:i:1:p:169
    as

    Download full text from publisher

    File URL: ftp://80.66.179.253/eut/journl/20171-10.pdf
    Download Restriction: no
    ---><---

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eut:journl:v:21:y:2017:i:1:p:169. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: [z.rahimalipour] (email available below). General contact details of provider: https://edirc.repec.org/data/fecutir.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.