Do retail coffee prices increase faster than they fall? Asymmetric price transmission in France, Germany and the United States

This investigation examines price transmission asymmetries (PTA) between international and retail coffee prices in the US, France and Germany. Differences in price transmission mechanisms provide evidence for disparities in market structure and market performance across countries. Although all processors of roasted coffee purchase green coffee at the same price in the international markets, one finds significant differences in retail prices among these countries. The study develops an Error Correction (EC) representation model to assess PTA of non-stationary models. Finally, it claims that identifying differences in price transmission asymmetry is an approach to compare market structure across countries.coffee, markets, Food Consumption/Nutrition/Food Safety, Marketing,

PREDICTING COUPON USE FROM SHOPPER DEMOGRAPHIC AND BEHAVIORAL CHARACTERISTICS

We surveyed of grocery shoppers in the Northeast United States to measure how demographic characteristics and consumer behavior affect the use of four coupon types (paper, in-store, checkout, and online). We employ logit models to estimate the probability that a consumer is a regular coupon user conditioned to his/her demographic and behavioral characteristics. Readership and economizing-behavior variables have a larger impact on the probability of being a coupon user than do demographic variables, except in the case of online coupons. Our results suggest that targeting specific coupon types using demographic profiles alone is not an appropriate method of coupon distribution. Understanding behavioral characteristics of the coupon users will help target coupon offerings by various distribution methods.Consumer/Household Economics,

STRUCTURAL CHANGE, RENTS TRANSFERRING AND MARKET POWER IN THE INTERNATIONAL COFFEE MARKET: A TIME SERIES ANALYSIS

The breakdown of the International Coffee Agreement (an oligopoly of exporting countries) in 1990 led to increasing competition for market share. We use an econometric model to examine the effects of the agreement's dissolution. Results suggest a transfer of rents from producers to wholesalers and little impact on consumers.Industrial Organization,

Effect of the orientational relaxation on the collective motion of patterns formed by self-propelled particles

We investigate the collective behavior of self-propelled particles (SPPs) undergoing competitive processes of pattern formation and rotational relaxation of their self-propulsion velocities. In full accordance with previous work, we observe transitions between different steady states of the SPPs caused by the intricate interplay among the involved effects of pattern formation, orientational order, and coupling between the SPP density and orientation fields. Based on rigorous analytical and numerical calculations, we prove that the rate of the orientational relaxation of the SPP velocity field is the main factor determining the steady states of the SPP system. Further, we determine the boundaries between domains in the parameter plane that delineate qualitatively different resting and moving states. In addition, we analytically calculate the collective velocity $\vec{v}$ of the SPPs and show that it perfectly agrees with our numerical results. We quantitatively demonstrate that $\vec{v}$ does not vanish upon approaching the transition boundary between the moving pattern and homogeneous steady states.Comment: 3 Figure

Impact of CO2 Emission Policies on Food Supply Chain: Application to the U.S. Apple Sector

Environmental Economics and Policy,

Price Transmission Asymmetries and Nonlinearities in the International Coffee Supply Chain

We examine two distinct and important dimensions (e.g. symmetry vs. asymmetry and linearity vs. nonlinearity) of price transmission from international to retail coffee prices in France, Germany and the United States. We show that ignoring these two features of the price transmission process may lead to misleading impact assessments resulting from the elimination of International Coffee Agreement (ICA) in 1990. Our results confirm the presence of threshold effects in both periods (ICA and post ICA) in all three countries. Our estimates show that, in the long-run, the speed of adjustment toward equilibrium becomes faster during the post-ICA period in France and Germany. Our results suggest that, for these two countries, changes in international prices did not influence retail prices in the short-run during the ICA period; in contrast, retail prices responded to changes in international prices in the post-ICA period. Our results suggest differences between the two European countries and the United States. Specifically, our results indicate that changes in international prices influence U.S. retail prices in both periods. Nonlinear impulse response analysis indicates that ICA elimination in 1990 increased the speed of adjustment toward the long-run equilibrium, given a shock in international coffee prices. Our results show that ignoring nonlinearities and asymmetries in price transmission may lead to incorrect assessment of the consequences accruing to the elimination of the ICA.Threshold, Nonlinearity, Asymmetric Price Transmission, Roasted Coffee, Germany, United States, France, Error Correction Model, Demand and Price Analysis, International Relations/Trade, C32, Q17,

The Competitive Causes and Consequences of Customer Satisfaction

We conduct two studies to test three hypotheses: (1) Competition increases a firm's customer satisfaction; (2) Rivals' customer satisfaction increases a firm's customer satisfaction; (3) Rivals' customer satisfaction reduces a firm's sales. First, we use store-level customer satisfaction data from a supermarket chain. Next, we consider a range of industries, using brand-level customer satisfaction ratings from the American Customer Satisfaction Index. Results from both studies provide support for the latter two hypotheses, while we only find support for the first hypothesis in the second study.Customer Satisfaction, Food retailing, Competitive Strategy, Consumer/Household Economics,

EFFECTS OF FOOD AND HEALTH SPENDING PATTERNS ON THE HEALTH OF THE ELDERLY

Examines linkages between food and health spending patterns, income, and health status of the elderly. Links these relationships to food insecurity and expenditures on nutraceuticals. Methodology includes simultaneous estimation of expenditure systems and health production functions. Preliminary results indicate simultaneity between health production function and spending patterns throughout the life cycle.Food Consumption/Nutrition/Food Safety, Health Economics and Policy,