Abstract

This work suggests that the range of parametric configurations which give rise to a strictly convex farm-retail price transmission function is wider than that identified by Azzam (1999). As a matter of fact, Azzam's implicit result (that is, a strictly convex aggregate demand function leads always to a strictly concave price transmission function) emerges only as a particular case of the result obtained here for large elasticity of aggregate demand and patient enough retailers.

Submitted: June 25, 2008 · Accepted: August 11, 2008 · Published: August 25, 2008

Recommended Citation

Fousekis, Panos (2008) "Further Results on Asymmetry in Farm-Retail Price Transmission under Spatial Monopoly," Journal of Agricultural & Food Industrial Organization: Vol. 6 : Iss. 1, Article 7.
DOI: 10.2202/1542-0485.1225
Available at: http://www.bepress.com/jafio/vol6/iss1/art7