Asymmetry Price Transmission in Market Rice in Indonesia

Tanti Novianti, Mulia Ary Mashito, Muryani Muryani

= http://dx.doi.org/10.20473/jiet.v5i2.23612
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Abstract


Rice price disparity at the farmer and consumer level is
large. This study analyzes the movement and
transmission of rice pricer at the producer and
consumer level between regions in Indonesia. The data
used in this study is data on rice and beef prices at the
producer and consumer level from 2010 to 2017. The
method used in the analysis is the Error Correction
Model (ECM). The movement of rice between regions
in Indonesia fluctuated throughout the period 2010 -2017. The price of rice at the producer level is more
volatile than the price of rice at the consumer level.
Transmission of rice prices at the consumer level to
prices at the producer level occurs asymmetrically, both
in the short term and in the long run. In producer consumer relations, the transmission of rice prices at
the producer level to prices at the consumer level
occurs asymmetrically in the short term, but
symmetrically in the long run


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