Sheep market integration in the Central Rift Valley of Ethiopia

This study examines the existence of the spatial market integration of the different pairs of sheep markets in the Central Rift Valley of Ethiopia. Using modern time series econometric technique, uncovered compelling pieces of evidence of strong steady state linkages of the various pair-wise combinations of the sampled CRV markets, with only an insignificant few segregated routes. The main conclusion of the study is that despite the geographic segregation of the sheep markets and the presence of fragmented and often inefficient distribution system, price signals and other market information are transmitted efficiently across the markets, thus negating the potential occurrences of unexploited arbitrage opportunities.