000179168 001__ 179168
000179168 005__ 20180122233554.0
000179168 037__ $$a1701-2016-138938
000179168 041__ $$aen_US
000179168 084__ $$aD43
000179168 084__ $$aL13
000179168 084__ $$aQ13
000179168 245__ $$aRevisiting Concentration in Food and Agricultural Supply Chains: The Welfare Implications of Market Power in a Complementary Input Sector
000179168 260__ $$c2014-07
000179168 269__ $$a2014-07
000179168 270__ $$mmcakir@umn.edu$$pÇakır,   Metin
000179168 300__ $$a35
000179168 336__ $$aWorking or Discussion Paper
000179168 490__ $$aStaff Paper
000179168 490__ $$aP14-7
000179168 520__ $$aThe use of complementary inputs is a key characteristic of the production process in
many food related industries. In this article we explore how market power in a
complementary input sector compares to the exertion of market power in a downstream
sector for both producer and consumer welfare, as well as for policy. We develop a
model of a homogenous product market that encompasses both bilateral and
complementary relationships. The model focuses on the primary input sector and allows
for exertion of market power by both complementary input suppliers and downstream
firms. We use comparative statics analyses and numerical simulations to study the
economic equilibrium under different scenarios of market power exertion. With respect to
the welfare of primary input suppliers, our main finding is that market power exercised
by the supplier of a complementary input generates greater negative effects than the same
level of market power exercised by the downstream firms. We provide a discussion of the
implications of the results for policy in the context of current problems within the
Canadian grain handling and transportation system.
000179168 542__ $$fLicense granted by Linda Eells (lle@umn.edu) on 2014-07-17T20:40:50Z (GMT):

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000179168 650__ $$aProduction Economics
000179168 6531_ $$aSupply Chain Competitiveness
000179168 6531_ $$aComplementary Sectors
000179168 6531_ $$aMarket Power
000179168 6531_ $$aGrain Handling and Transportation System
000179168 700__ $$aCakir, Metin
000179168 700__ $$aNolan, James
000179168 8564_ $$s1616230$$uhttp://ageconsearch.umn.edu/record/179168/files/Cakir2014revisiting%20_1_.pdf
000179168 887__ $$ahttp://purl.umn.edu/179168
000179168 909CO $$ooai:ageconsearch.umn.edu:179168$$pGLOBAL_SET
000179168 912__ $$nSubmitted by Linda Eells (lle@umn.edu) on 2014-07-17T20:47:08Z
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  Previous issue date: 2014-07
000179168 982__ $$gUniversity of Minnesota>Department of Applied Economics>Staff Papers
000179168 980__ $$a1701