Information and output in agricultural markets: the role of market transparency

Agricultural and Food Economics - Tập 1 - Trang 1-10 - 2013
Christian Ahlers1, Udo Broll2, Bernhard Eckwert3
1School of International Studies, Technische Universität Dresden, Dresden, Germany
2Department of Business and Economics, School of International Studies, Technische Universität Dresden, Dresden, Germany
3Department of Economics, University of Bielefeld, Bielefeld, Germany

Tóm tắt

This study is concerned with the impact of changes in market transparency on agricultural production levels. Market transparency is of central importance in the agri-food system as it affects the degree of uncertainty farmers face when taking economic decisions. In our study, we endogenize uncertainty by establishing a link between market transparency and the terms of contracting on the futures market. We find that a higher degree of market transparency leads to higher expected profits but does not increase agricultural production levels per se. However, when farmers have no access to futures markets, transparency does increase ex ante expected uility and output.

Tài liệu tham khảo

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