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Food Competition in World Markets: Some Evidence from a Panel Data Analysis of Top Exporting Countries
Author(s) -
Baiardi Donatella,
Bianchi Carluccio,
Lorenzini Eleonora
Publication year - 2015
Publication title -
journal of agricultural economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.157
H-Index - 61
eISSN - 1477-9552
pISSN - 0021-857X
DOI - 10.1111/1477-9552.12094
Subject(s) - economics , panel data , competition (biology) , relative price , unit (ring theory) , emerging markets , quality (philosophy) , international economics , international trade , monetary economics , econometrics , macroeconomics , ecology , philosophy , mathematics education , mathematics , epistemology , biology
This paper investigates the relevance of relative prices and world income as determinants of food exports for the top trading countries in the period 1992–2012 using a panel data framework. We find that price elasticities generally take lower values for processed goods, and the opposite holds for income elasticities. Processed goods are also characterised by an inverse relationship between price elasticities and average unit values. The analysis suggests that both emerging and advanced countries can be expected to increase their export specialisation in processed goods. Furthermore, developed economies can face fierce competition from emerging countries by enhancing the quality content of their processed good exports.