Vertical price transmission in the Turkish poultry market: the avian influenza crisis

This article assesses the impact of the Avian Influenza (AI) outbreak in the Turkish poultry market by focusing on price transmission at producer and retail levels. The relationship and patterns of transmission between producer and retail prices are analysed by estimating a Regime-Switching Vector Error Correction Model with three regimes. An AI information index variable is developed and used to determine regime-switching. Results suggest that consumer prices adjust to disequilibrium caused by the AI crisis, while producer prices are sticky and slowly responsive.     

The characteristics of hotel websites and their implications for website effectiveness

Hotels are increasingly taking advantage of the Internet as a marketing tool able to provide direct contact with customers, but is the full potential of this tool being exploited? This article constructs and validates an instrument for the measurement of website characteristics and relates those characteristics to website performance, using structural equation modeling. The results indicate that small and medium size hotels in the Balearic Islands in Spain, a developed tourist destination, and in the South of Brazil, a developing destination, are using their websites as mass media tools; ignoring the potential for interactivity and one-to-one communication. It is suggested that hoteliers should adopt a more strategic approach to the Internet, preparing the ground for direct contact with customers.     

Effects of decoupling on the mean and variability of output

The influence of inputs on output risk in the context of agriculturalproduction decisions taken by non-risk neutral agents has beenignored by previous research assessing the effects of decoupledincome support payments in a deterministic world or risk-neutralframework. We study the impacts of decoupled payments on inputuse and on output mean and variance. Our theoretical frameworkfor studying agricultural producers' responses to lump sum paymentsallows for both output and price uncertainty and economic agents'risk attitudes. Results show the importance, in a non-risk neutralscenario, of considering the influence that economic agentshave on the stochastic component of output through input use.Our empirical application uses Kansas farm-level data to illustratethe model.     

Nonlinearities in the U.S. corn‐ethanol‐oil‐gasoline price system

We use a smooth transition vector error correction model to assess price relationships within the U.S. ethanol industry. Monthly ethanol, corn, oil, and gasoline prices from 1990 to 2008 are used in the analysis. Results indicate the existence of long‐run relationships among the prices analyzed. Strong links between energy and food prices are identified.     

Asymmetric price volatility transmission between food and energy markets: The case of Spain

The proportion of agricultural production that is being transformed into biofuels has been growing worldwide over the last decade. This has spurred the food versus fuel debate. This article aims at shedding light on this issue by studying price volatility relationships between food and biofuel prices in Spain. We use an asymmetric MGARCH model to evaluate volatility spillovers between the Spanish biodiesel blend and refined sunflower oil prices. Empirical results confirm that there are bidirectional and asymmetric volatility spillovers between these two prices.