Survey of Internal Price Impressionability from International Market

Document Type : Original Article

Abstract

  Price uncertainty and price transmition are two important problems facing agricultural producer and Iranian consumers. Price at the international and internal markets is depend on commodity characteristics and market structure. The aim of this study was to investigate wheat, alfalfa, corn and soybean price relationship in the internal and internal markets in the period of 1380-1 to 1385-3. Co-integrated VAR models have been considered for wheat, alfalfa, corn and soybean markets in order to study price relationship.   The result indicated that price transmition in corn and soybean markets are more related than wheat and alfalfa markets. This may be due to more marketable and importable share for corn and soybean markets.     JEL Classification: Q11, E30