THE CORN-EGG PRICE TRANSMISSION MECHANISM
Babula, Ronald A.
Bessler, David A.
Demand and Price Analysis,
mesheuropmc: food and beverages | embryonic structures | health care economics and organizations | digestive, oral, and skin physiology
A vector autoregression (VAR) model of corn, farm egg, and retail egg prices is estimated and shocked with a corn price increase. Impulse responses in egg prices, t-statistics for the impulse responses, and decompositions of forecast error variance are presented. Analyses of results provide insights on the corn/egg price transmission mechanism and on how corn price shocks pulsate through the egg-related economy.