| In the section | Articles |
| Title of the article | The Sanctions’ Impact on the Integration Level of the Russian Market of Vegetables |
| Pages | 74-96 |
| Author 1 | Anna Vladimirovna Stupnikova Senior Lecturer, Junior Research Fellow Amur State University, Economic Research Institute FEB RAS 21 Ignatyevskoye shosse, Blagoveshchensk, Russia, 675027 153 Tikhookeanskaya Street, Khabarovsk, Russia. 680042 This email address is being protected from spambots. You need JavaScript enabled to view it. |
| Abstract | The article tests the hypothesis that the imposition of sanctions on the supply of foodstuffs in 2014 has a negative impact on the level of integration of the Russian market of vegetables. To test this hypothesis, the study was conducted for two time periods: August 2013 - July 2014 (the period before the imposition of sanctions), August - December 2014 (period of prohibition to import vegetables from EU, USA, Australia). The author investigates vegetables’ markets limited by the territory of each subject of the Russian Federation. The study was conducted within the concept of spatial market equilibrium. Under the integrated market the author mentions the market spatial dispersed elements of which are characterized by the law of one price in a weak form. The study of integration was carried out in two ways: by determining the volatility of price data for the markets of vegetables of the RF subjects and evaluation of the border effect for groups of markets, poorly integrated at the national level. The findings indicate a decrease in the degree of spatial integration of the Russian market of vegetables as a result of the imposition of sanctions, which confirms the hypothesis. |
| Code | 338.57 |
| DOI | 10.14530/se.2015.3.074-096 |
| Keywords | ♦ spatial market integration ♦ sanctions ♦ vegetables market ♦ volatility ♦ spatial price behaviour ♦ border effect ♦ subject of the Russian Federation |
| Download | SE.2015.3.074-096.Stupnikova.pdf |
| For citation | Stupnikova A.V. The Sanctions’ Impact on the Integration Level of the Russian Market of Vegetables. Prostranstvennaya Ekonomika = Spatial Economics, 2015, no. 3, pp. 74-96. DOI: 10.14530/se.2015.3.074-096. (In Russian). |
| References |
1. Gluschenko K.P. The Law of One Price in the Russian Economic Space. Prikladnaya Ekonometrika – Applied Econometrics, 2010, no. 1 (17), pp. 3–19. (In Russian). 2. Gluschenko K.P. Models and Methods for Research of Spatial Integration of Markets for Goods: Abstract of Dis. … Doctor. Econ. Science: 08.00.13. Novosibirsk, 2008, 33 p. (In Russian). 3. Krugman P., Obstfeld M. International Economics: Theory and Policy. Moscow, 1997, 799 p. (In Russian). 4. On Applying Certain Special Economic Measures to Ensure Security of the Russian Federation: the Decree of the President of the Russian Federation dated August 6, 2014, No. 560. System «GARANT». (In Russian). 5. On Approval of the «Basic Regulations on the Procedure for Supervision Over Consumer Prices and Tariffs for Goods and Paid Services, Rendered to Population, and the Definition of Consumer Price Index»: the Decree of Goskomstat of the Russian Federation dated March 25, 2002, No. 23. System «GARANT». (In Russian). 6. Ryzhova N.P. Economic Integration of Border Regions. Kabarovsk: Economic Research Institute FEB RAS, 2013, 352 p. (In Russian). 7. Stupnikova A.V. Spatial Behavior of Prices in the Russian Federation in 2003–2012. Ekonomicheskie i Sotsialnye Peremeny: Fakty, Tendentsii, Prognoz – Economic and Social Changes: Facts, Trends, Forecast, 2014, no. 3 (33), pp. 248–261. (In Russian). 8. Federal State Statistics Service of the Russian Federation. Available at: http://www.gks.ru (accessed 25.07.2015) (In Russian). 9. Federal Customs Service of Russia. Available at: http://www.customs.ru (accessed 20.08.2015) (In Russian). 10. Barrett C.B., Li J.R. Distinguishing between Equilibrium and Integration in Spatial Price Analysis. American Journal of Agricultural Economics, 2002, vol. 84, no. 2, pр. 292–307. DOI: 10.1111/1467-8276.00298 11. Baulch B. Testing for Food Market Integration Revisited. Journal of Development Studies, 1997, vol. 33, no. 4, pр. 512–534. DOI: 10.1080/00220389708422479 12. Ceglowski J. The Law of One Price: Intranational Evidence for Canada. Canadian Journal of Economics, 2003, vol. 36, no. 2, pр. 373–400. DOI: 10.1111/1540-5982.t01-1-00005 13. Delgado C. A Variance Component Approach to Food Grain Market Integration in Northern Nigeria. American Journal of Agricultural Economics, 1986, vol. 68, no. 4, pр. 970–979. DOI: 10.2307/1242143 14. Doucouliagos C., Haszler Н., Hone Р. Spatial Pricing Efficiency in Fiji’s Municipal Food Markets. Deakin University. Economics Series, 2007, no. 5, 22 p. 15. Engel C., Rogers J.H. How Wide Is the Border? American Economic Review, 1996, vol. 5, pp. 1112–1125. 16. Engle R., Granger C. Co-integration and Error Correction: Representation, Esti-mation and Testing. Econometrica, 1987, vol. 55, no. 2, pp. 251–276. DOI: 10.2307/1913236 17. Fackler P., Goodwin B. Spatial Price Analysis. Handbook of Agricultural Economics, 2001, vol. 1, part B, pр. 971–1024. DOI: 10.1016/S1574-0072(0110025-3 18. Florian M. A New Look at Static Spatial Price Equilibrium Models. Regional Science and Urban Economics, 1982, vol. 12, no. 4, pр. 519–597. DOI: 10.1016/0166-0462(82)90008-4 19. Gluschenko K. Price Convergence and Market Integration in Russia. William Davidson Institute. Working Paper No. 999, 2010, 45 p. 20. Goodwin B.K., Schroeder T.C. Cointegration Tests and Spatial Price Linkages in Regional Cattle Markets. American Journal of Agricultural Economics, 1991, vol. 73, no. 2, pр. 452–464. DOI: 10.2307/1242730 21. Gorodnichenko Y., Tesar L. A Re-Examination of the Border Effect. NBER. Working Paper No. 11706, 2005, 39 p. 22. Harriss B. There Is Method in My Madness: Or Is It Vice Versa? Food Research Institute Studies, 1979, no. 17, pр. 197–218. 23. Helliwell J., Genevievve V. Measuring Internal Trade Distances: A New Method Applied to Estimate Provincial Border Effect in Canada. Canadian Journal of Economics, 2001, no. 34, pp. 1024–1041. DOI: 10.1111/0008-4085.00111 24. Negassa A., Myers R., Gabre-Madhin E. Analyzing Grain Market Efficiency in Developing Countries: Review of Existing Methods and Extensions to the Parity Bounds Model. MTID. Discussion Paper No. 63, 2003, 63 p. 25. Obstfeld M., Taylor A. Nonlinear Aspects of Good-Market Arbitrage and Adjust-ment: Heckscher’s Commodity Points Revisited. Journal of Japanese and International Economies, 1997, vol. 11, no. 4, pp. 441–479. DOI: 10.1006/jjie.1997.0385 26. Parsley D., Shang-Jin Wei. Explaining the Border Effect: The Role of Exchange Rate Variability, Shipping Costs, and Geography. Journal of International Economics, 2001, vol. 55 (1), pp. 87–105. DOI: 10.1016/S0022-1996(01)00096-4 27. Ravallion M. Testing Market Integration. American Journal of Agricultural Economics, 1986, vol. 68, no. 1, pр. 102–109. DOI: 10.2307/1241654 28. Shahidur R., Minot N. Are Staple Food Markets in Africa Efficient? Spatial Price Analyses and Beyond. Seminar «Food Price Variability: Causes, Consequences, and Policy Options» (25–26 January. 2010. Maputo, Mozambique). Comesa-MSU-IFPRI African Agricultural Markets Project (AAMP), 2010, January, 31 p. |
| Financing | |
| Date |