A Meta-Regression Analysis of Price Transmission Estimates in Sub-Saharan Africa. (December 2015)

• Record Type: Journal Article
• Authors: Amikuzuno, Joseph; Ogundari, Kolawole
• Is Part Of: Outlook on agriculture. Volume 44:Number 4(2015:Dec.)
• Page Start: 309
• Page End: 314
• Publication Date: 2015-12
• Subjects: asymmetric price transmission -- price transmission -- markets -- meta-regression -- Sub-Saharan Africa; Agriculture -- Periodicals; Agriculture and state -- Periodicals; Agriculture; Agriculture and state; Periodicals; 630.5
• DOI: 10.5367/oa.2015.0221
• Languages: English
• ISSNs: 0030-7270

Abstract

This study used data from 43 price transmission (PT) studies in Sub-Saharan Africa to conduct a meta-regression analysis to assess how study-specific attributes caused heterogeneity in reported PT coefficients, and to determine the probability of reporting asymmetric price transmission (APT) in selected primary studies. The study found that the reported coefficients varied significantly when published in conference papers, when monthly data were used, when the focus was on a food crop commodity, when the parity bound model was used and when the research was conducted across sub-regions in Sub-Saharan Africa. In addition, the probability of reporting of APT increased with the publication year and among studies conducted in western and eastern Africa relative to studies for southern Africa; conversely, the probability decreased among studies published as conference papers and those that used co-integration techniques. These findings highlight the critical role of selected attributes in determining the magnitude of and the inferences drawn from PT coefficients, and the probability of identifying APT in such coefficients. Overall, the findings suggest that future researchers should pay attention to study-specific characteristics when modelling PT in order to advance our understanding and the policy relevance of inter-market and vertical price transmission, especially in Sub-Saharan Africa.