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This paper evaluates the spatial linkages between the livestock product markets in Mongolia and the effects of road conditions on market transactions. It is based on the Engle-Granger test, an error correction model, and a model of market integration using the monthly price datasets of livestock products in Mongolia during 2005-2009. Empirical analysis indicates that the most and least integrated markets are the cashmere and milk markets, respectively. Extending paved roads might tighten the integration of the livestock products markets. Discipline: Agricultural economics Additional key words: Engle-Granger test, Error Correction Model, price

Spatial Market Integration of Livestock Products and Road Conditions in Mongolia