Abstract
The 1985 suspension of the prorate on California-Arizona navel oranges decreased FOB retail price spreads in Atlanta and San Francisco by about 1.3 cents per pound. Four reduced-form models of price spreads were estimated as seemingly unrelated regressions for price spreads in Atlanta, Dallas, and San Francisco. Nested and non-nested hypothesis testing procedures indicated a markup model as the most plausible one for explaining short-run changes in price spreads.
| Original language | English (US) |
|---|---|
| Pages (from-to) | 647-660 |
| Number of pages | 14 |
| Journal | American Journal of Agricultural Economics |
| Volume | 71 |
| Issue number | 3 |
| DOIs | |
| State | Published - Aug 1989 |
Keywords
- Marketing orders
- Non-nested testing
- Price spreads
ASJC Scopus subject areas
- Agricultural and Biological Sciences (miscellaneous)
- Economics and Econometrics