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Title:Measuring the integration of staple food markets in Sub-Saharan Africa: Heterogeneous infrastructure and cross border trade in the East African community PDF Logo
Authors:Ihle, Rico
von Cramon-Taubadel, Stephan
Zorya, Sergiy
Issue Date:2011
Series/Report no.:CESifo working paper: Trade Policy 3413
Abstract:This analysis employs cointegration methods and semiparametric regression in order to assess the integration of maize markets and the factors determining national and cross-national transmission of price signals in Sub-Saharan Africa. We use a rich dataset of 16 series of wholesale maize prices between 2000 and 2008 for Kenya, Tanzanian and Uganda. Distance is shown to have a significant nonlinear impact on the transmission of information - modelled using a semi-parametric partially linear model. Border effects are found to be heterogeneous. The empirical results provide strong evidence that the Tanzanian market is isolated from the rest of East Africa and internally fragmented.
Subjects:border effect
spatial market integration
cointegration
semi-parametric
regression
partially linear model
Eastern Africa
maize
JEL:C32
Q11
Q13
Q17
Q18
Document Type:Working Paper
Appears in Collections:CESifo Working Papers, CESifo Group Munich

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