The Dynamics of Food Price Convergence in Ethiopia

This paper examines the dynamics of relative price convergence of nine agricultural commodities among regions in Ethiopia using a panel dataset of 18-year monthly prices collected by CSA in two periods (1996-2004 and 2005-2013). Panel unit root tests, fixe-effects, and half-life method were employed to estimate the rate and speed of relative price convergence of commodities. The findings markedly indicate low rate and speed of relative price convergence and considerably persistent relative price shocks unadjusted among regions, suggesting the need to design proactive market policy intervention in improving convergence of commodity prices in Ethiopia.


Editor(s):
Tadele Ferede
Abu Girma
Getnet Alemu
Demirew Getachew
Issue Date:
Apr 01 2016
Publication Type:
Journal Article
ISSN:
1993-3681
Language:
English
Published in:
Ethiopian Journal of Economics, Volume 24, Number 1
Page range:
31-58
JEL Codes:
Q11; Q13




 Record created 2017-07-13, last modified 2017-08-29

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