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

Abstract

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,