IDEAS home Printed from https://ideas.repec.org/p/ags/aaea98/20833.html
   My bibliography  Save this paper

Backward Implicit Contracts, Pre-Commitment And Market Power In The International Durum Wheat Market

Author

Listed:
  • Stiegert, Kyle W.
  • Hamilton, Stephen F.

Abstract

We devise a formal test of market power that is applied to the international durum market. The model captures the asymmetric cost structure brought about the initial payment system of the Canadian Wheat Board. The model generates testable hypotheses about market conduct and optimal strategic positioning.

Suggested Citation

  • Stiegert, Kyle W. & Hamilton, Stephen F., 1998. "Backward Implicit Contracts, Pre-Commitment And Market Power In The International Durum Wheat Market," 1998 Annual meeting, August 2-5, Salt Lake City, UT 20833, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    • Handle: RePEc:ags:aaea98:20833
    DOI: 10.22004/ag.econ.20833
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/20833/files/spstie01.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.20833?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. H. Alan Love & Endah Murniningtyas, 1992. "Measuring the Degree of Market Power Exerted by Government Trade Agencies," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 74(3), pages 546-555.
    2. Alex F. McCalla, 1966. "A Duopoly Model of World Wheat Pricing," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 48(3_Part_I), pages 711-727.
    3. Chris M. Alaouze & A. S. Watson & N. H. Sturgess, 1978. "Oligopoly Pricing in the World Wheat Market," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 60(2), pages 173-185.
    4. Perloff, Jeffrey M & Rubinfeld, Daniel L & Ruud, Paul, 1996. "Antitrust Settlements and Trial Outcomes," The Review of Economics and Statistics, MIT Press, vol. 78(3), pages 401-409, August.
    5. Brander, James A. & Spencer, Barbara J., 1985. "Export subsidies and international market share rivalry," Journal of International Economics, Elsevier, vol. 18(1-2), pages 83-100, February.
    6. Philip L. Paarlberg & Philip C. Abbott, 1986. "Oligopolistic Behavior by Public Agencies in International Trade: The World Wheat Market," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 68(3), pages 528-542.
    7. Schmitz, Andrew & Furtan, William Hartley & Brooks, Harvey G. & Gray, Richard S., 1997. "The Canadian Wheat Board: How Well Has It Performed?," Choices: The Magazine of Food, Farm, and Resource Issues, Agricultural and Applied Economics Association, vol. 12(01), pages 1-7.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Tian Xia & Brian Sancewich, 2018. "Interaction between buyer power in agricultural procurement and seller power in food retailing, and optimal allocation of anti-trust efforts," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 6(1), pages 1-19, December.
    2. Stiegert, Kyle W. & Carton, Olivier, 1998. "Increasing Concentration In The U.S. Hard Wheat Milling Industry," 1998 Annual meeting, August 2-5, Salt Lake City, UT 20860, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    3. Xia, Tian & Sancewich, Brian, 2012. "Retail Markets and Buyer Power in Agricultural Procurements," 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington 124929, Agricultural and Applied Economics Association.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Chen, Chi-Chung & McCarl, Bruce A. & Chang, Ching-Cheng & Hsu, Shih-Hsun, 2002. "Spatial Equilibrium Modeling With Imperfectly Competitive Markets: An Application To Rice Trade," 2002 Annual meeting, July 28-31, Long Beach, CA 19687, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    2. D. MacLaren, 1991. "Agricultural Trade Policy Analysis And International Trade Theory: A Review Of Recent Developments," Journal of Agricultural Economics, Wiley Blackwell, vol. 42(3), pages 250-297, September.
    3. Ghoshray, Atanu, 2006. "Market Delineation and Price Leadership in the World Wheat Market: A Cointegration Analysis," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 35(2), pages 1-16, October.
    4. Stiegert, Kyle W. & Wang, Shinn-Shyr, 2003. "Imperfect Competition And Strategic Trade Theory: What Have We Learned," Working Papers 14589, International Agricultural Trade Research Consortium.
    5. Vanzetti, David & Kennedy, John O.S., 1989. "Optimal Retaliation in International Commodity Markets," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 57(01-02-03), pages 1-25, December.
    6. B. Stephen Labson & Gordon C. Rausser, 1992. "Modeling Phased Reduction of Distortionary Policies in the U.S. Wheat Market under Alternative Macroeconomic Environments," Center for Agricultural and Rural Development (CARD) Publications 90-gatt11, Center for Agricultural and Rural Development (CARD) at Iowa State University.
    7. Daniel H. Pick & Timothy A. Park, 1991. "The Competitive Structure of U.S. Agricultural Exports," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 73(1), pages 133-141.
    8. Van der Sluis, Evert, 1988. "A nonlinear multicountry multicommodity spatial equilibrium model with an application," ISU General Staff Papers 1988010108000018153, Iowa State University, Department of Economics.
    9. Mccorriston, Steve & Sheldon, Ian, 1989. "Imperfect Competition, Trade Policy and Processed Agricultural Products," Occasional Papers 232831, Regional Research Project NC-194: Organization and Performance of World Food Systems.
    10. Anania, Giovanni, 2003. "Gains from trade liberalization with imperfectly competitive world markets. A note," Economia Agraria y Recursos Naturales, Spanish Association of Agricultural Economists, vol. 3(06), pages 1-15.
    11. Atanu Ghoshray, 2002. "Agricultural Economics Society Prize Essay Asymmetric Price Adjustment and the World Wheat Market," Journal of Agricultural Economics, Wiley Blackwell, vol. 53(2), pages 299-317, July.
    12. C. S. C. Sekhar, 2010. "Structure of the World Wheat Market: Some Implications for Strategic Trade Policy?," Journal of Quantitative Economics, The Indian Econometric Society, vol. 8(2), pages 142-158.
    13. Jeon, Jong-Pyeong, 1989. "The impacts of policy alternatives and foreign demand fluctuations on the US rice market," ISU General Staff Papers 1989010108000010204, Iowa State University, Department of Economics.
    14. Karp, Larry S., 1982. "Imperfect Competition in International Trade: A Dynamic Game," 1982 Annual Meeting, August 1-4, Logan, Utah 279466, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    15. Reimer, Jeffrey J. & Stiegert, Kyle W., 2006. "Evidence on Imperfect Competition and Strategic Trade Theory," Staff Paper Series 498, University of Wisconsin, Agricultural and Applied Economics.
    16. Chambers, Robert G. & Paarlberg, Philip L., 1989. "Are More Exports Always Better?: Comparing Cash and In-Kind Export Subsidies," Working Papers 197606, University of Maryland, Department of Agricultural and Resource Economics.
    17. Bastos, Paulo & Straume, Odd Rune & Urrego, Jaime A., 2013. "Rain, agriculture, and tariffs," Journal of International Economics, Elsevier, vol. 90(2), pages 364-377.
    18. Fengxia Dong & Thomas L. Marsh & Kyle W. Stiegert, 2006. "State Trading Enterprises in a Differentiated Product Environment: The Case of Global Malting Barley Markets," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 88(1), pages 90-103.
    19. van Berkum, Siemen & van Meijl, Hans, 2000. "The application of trade and growth theories to agriculture: a survey," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 44(4), pages 1-38.
    20. Jaouad, Mohamed, 1994. "An agricultural policy and trade model for Morocco," ISU General Staff Papers 1994010108000011483, Iowa State University, Department of Economics.

    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:ags:aaea98:20833. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/aaeaaea.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.