We compare two regime-dependent econometric models for price transmission analysis, namely the threshold vector error correction model and Markov-switching vector error correction model. We first provide a detailed characterization of each of the models which is followed by a comprehensive...

Recent global food price developments have spurred renewed interest in analyzing integration of local markets to global markets. A popular approach to quantify market integration is cointegration analysis. However, local market price data often has missing values, outliers, or short and...

We investigate whether hostile international relations in the framework of the ongoing Israeli-Palestinian conflict has an effect on pricing and consumption patterns of different varieties of apples marketed in Palestine. For this purpose, we employ a discrete choice equilibrium model with...

ABSTRACT Milk has become one of the most volatile agricultural commodities in the international market. High volatility of commodity prices and their implications for food security are clearly among the most important issues facing policy makers today. Thus, a deeper understanding of the...

Israel’s imposition of military security measures in the Palestinian territories as a consequence of the long-lasting violent conflict between them has negative economic effects on all parties concerned. One crucial outcome is the limited ability to carry out trade, which brings about welfare...

Against the background of the Middle East conflict we study the role of social embeddedness of economic actors belonging to both conflicting parties for their perceptions of transaction problems and capabilities to solve them. Our analysis is based on a quantitative survey among Israeli food...

The impact of violent conflict on the state of the economy has been studied extensively since the two recent decades. In most studies the state of the economy is operationalized by stock market indices of the respective countries. In this paper we suggest investigating the impact of violent...

We analyze vertical price transmission in the German biodiesel market studying the relationship between rapeseed oil, soya oil and biodiesel prices. We focus on the period from summer 2002 to late 2007 during which the German biodiesel market developed into the largest market worldwide, mainly...

We assess the distributional effects of the transmission of world market price shocks for the highly import dependent economy of Israel. We combine a CGE simulation with an empirical cointegration analysis for assessing the direction and extent of the connectedness of Israeli and world market...

This paper ... is concerned with interdependencies between organic and conventional wheat prices at the producer level. The analysis is carried out by means of cointegration analysis, that is, the estimation of a vector error correction model considering the two price series. With such a model,...