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Dynamics of Price Transmission in the Presence of a Major Food Safety Shock: Impact of H5N1 Avian Influenza on the Turkish Poultry Sector

Published online by Cambridge University Press:  26 January 2015

Sayed H. Saghaian ,
Gökhan Özertan  and
Aslıhan D. Spaulding
Sayed H. Saghaian
Affiliation:
Department of Agricultural Economics, University of Kentucky, Lexington, KY
Gökhan Özertan
Affiliation:
Department of Economics, Boǧaziçi University, Turkey
Aslıhan D. Spaulding
Affiliation:
Department of Agriculture, Illinois State University, Normal, IL
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Abstract

This article addresses the dynamic impact of the 2005 H5N1 avian influenza outbreak on the Turkish poultry sector. Contemporary time-series analyses with historical decomposition graphs are used to address differences in monthly price adjustments between market levels along the Turkish poultry supply channel. The empirical results show that price adjustments are asymmetric with respect to both speed and magnitude along the marketing channel. Results also reveal a differential impact of the exogenous shock on producers and retailers. The findings have critical efficiency and equity implications for the supply-chain participants.

Keywords

avian influenzachickenfood safety shockprice transmission dynamicssupply chainTurkeyQ11Q13
Type
Research Article
Information
Journal of Agricultural and Applied Economics , Volume 40 , Issue 3 , December 2008 , pp. 1015 - 1031
Copyright
Copyright © Southern Agricultural Economics Association 2008

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