Transmissão de preços na cadeia de carne suína: uma aplicação para preços de São Paulo

Changes in the pork chain bring about the discussion whether the wholesalesector has the leadership of price transmission and also if prices are efficient marketindicators. The paper aims to identify what segment is the price leader in the pork chainand also to characterize the price volatility considering producer, wholesale and retailprices for the state of São Paulo between 1995 and 2005. The data analysis wasconducted by estimating a VAR model which included an ARCH process for measuringprice volatility. A Granger causality test was also implemented to check the pricedirection transmission. The results pointed out that price transmission occurs fromwholesale to producer sectors and also that the price conditional variance for thewholesale sector is transmitted to producer and retail prices.