THE IMPACT OF INTERMEDIATE INPUT PRICE CHANGES ON FOOD PRICES: AN ANALYSIS OF "FROM-THE-GROUND-UP" EFFECTS

The impact of intermediate input price increases on food prices is analyzed assuming the producers can pass through increased production costs to final consumers. Five scenarios of input price increases are empirically examined. Findings indicate that the meat processing sector has a strong dependence on intermediate inputs (livestock), and an increase in livestock prices would have a greater impact on processed meat prices than would any other intermediate input price increases. Price increases in the service sector would result in overall price increases in food prices comparable to increases in intermediate agricultural commodities. Further, price increases in nondurable goods have more influence on food price increases than durable goods.food price, input-output analysis, intermediate input, pass-through effects, Demand and Price Analysis,

The Impact of Minimum Wage Increases on Food and Kindred Products Prices: An Analysis of Price Pass-Through

An input-output model is used to analyze price pass-through effects of a minimum wage increase on prices of the food and kindred products and food-service industries. These sectors employ a disproportionate share of minimum wage workers, but results suggest a $0.50 increase in the present minimum wage would increase food prices less than 1 percent for most of the 12 food and kindred products prices and 1 percent at eating and drinking places.minimum wage, input-output analysis, food and kindred products industries, eating and drinking places, Demand and Price Analysis, Labor and Human Capital,

The Factor Content of U.S. Trade: An Explanation for the Widening Wage Gap?

International Relations/Trade,

THE "NEW ECONOMY" AND EFFICIENCY IN FOOD MARKET SYSTEM: A COMPLEMENT OR A BATTLEGROUND BETWEEN ECONOMIC CLASSES?

Rapid developments in E-commerce can bring efficiency in the food market system by cutting transaction costs. However, it can also bring a battleground between developed and developing countries and also within developed countries because the New Economy emphasizes knowledge-based labor practices and low-skilled workers of trading nations compete for a shrinking need for their services. An Input-Output model is used to examine the effects on high-skilled and low-skilled worker demand, particularly in food and agriculture. The food and agricultural industries are significant employers of low-skilled labor. Food and agricultural trade has reduced low-skilled labor demand in the United States.Food and Agricultural Trade, Demand for High-skilled and low-skilled Labor, Input-Output Analysis, Marketing,

TRADE, TECHNOLOGY AND LABOR PRODUCTIVITY EFFECTS ON THE DEMAND FOR SKILLED AND UNSKILLED WORKERS: IMPLICATIONS FOR RURAL AREAS

An I/O model of U.S. is used to examine the effects of trade and domestic consumption on the separate and interactive effects of trade, technology, and labor productivity on the demand for skilled and unskilled workers for 1972, 1987, and 1993. The results suggest that trade has not been the major contributor to changes in demand for skilled vs. unskilled labor during the period examined, counter to the continuing debate on theory and on evidence supporting the trade- widening wage gap linkage. We found the ratio of high skilled to low-skilled workers was higher for exports than imports and has risen over time, suggesting that U. S. has moved toward more skilled-labor intensive exports. The effect of trade on rural workers is to reinforce structural trends already working to the disadvantage of rural workers.Structural Analysis, International Trade Impacts, Skilled-Unskilled Wage Gap, International Relations/Trade, Labor and Human Capital,

THE IMPACT OF INTERMEDIATE INPUT PRICE CHANGES ON FOOD PRICES: AN ANALYSIS OF "FROM-THE-GROUND-UP" EFFECTS

The impact of intermediate input price increases on food prices is analyzed assuming the producers can pass through increased production costs to final consumers. Five scenarios of input price increases are empirically examined. Findings indicate that the meat processing sector has a strong dependence on intermediate inputs (livestock), and an increase in livestock prices would have a greater impact on processed meat prices than would any other intermediate input price increases. Price increases in the service sector would result in overall price increases in food prices comparable to increases in intermediate agricultural commodities. Further, price increases in nondurable goods have more influence on food price increases than durable goods