Price convergence in the UK supermarket chains: Evidence from nonlinear cointegration approach

Woo, Kai Yin; Lee, Shu Kam

doi:10.17811/ebl.7.3.2018.115-125

Cited by 3 publications

(4 citation statements)

References 20 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Some of the remarkable features of the technique can be found inFauzel (2017) andWoo and Lee (2018).3 The attractions for choosing ARDL model is consistent with the earlier stated objective of obtaining short run and long run estimates and the mixed order of integration of the underlying series.…”

mentioning

confidence: 63%

Modeling Exchange rate -interest rate differential nexus in BRICS: The role asymmetry and structural breaks

Sani¹,

Salisu²,

Onyia³

et al. 2020

Econ Bus Lett

View full text Add to dashboard Cite

This paper validates, with a linear model, the theoretical construction that specifies negative relationship between interest rate differential and exchange rate in the BRICS countries. Further probe with a nonlinear model reveals that exchange rate responds asymmetrically to interest rate differential in the countries. In all, we show that accounting for asymmetry and structural breaks enhance the relationship.

show abstract

mentioning

confidence: 63%

Modeling Exchange rate -interest rate differential nexus in BRICS: The role asymmetry and structural breaks

Sani¹,

Salisu²,

Onyia³

et al. 2020

Econ Bus Lett

View full text Add to dashboard Cite

show abstract

“…Hence, our empirical findings that indicate PPP based on the nonparametric approach are more reliable than those based on a parametric approach in previous studies. In addition, more research should be conducted to investigate the law of one price in Africa along the line as proposed by Burger and Van Rensburg (2008) and Piesse and Hearn (2012) by utilizing nonparametric rank tests that could avoid the contentious issues associated with selecting a price index for PPP testing (Shum et al, 2018; Woo et al, 2020). Besides the rank tests, other methods such as spatial econometrics (e.g., Keller & Shiue, 2007), can be used for testing goods market integration in future research.…”

Section: Discussionmentioning

confidence: 99%

Tests of goods market integration between China and African BRI countries

Lee,

Shum,

Woo

2023

International Studies of Economics

View full text Add to dashboard Cite

The Chinese Government has promulgated the “Belt and Road Initiative” (BRI) to increase trade flows and integrate goods markets between China and BRI countries. The validity of purchasing power parity (PPP) implies well‐integrated goods markets, a precondition for further economic convergence, and the next stage of economic integration in factor, service, and financial markets. Our study aims to examine the validity of the PPP and the extent of goods market integration between China and selected BRI countries in Africa. Since the functional form of the cointegrating relationship may not be exact or linear, we adopt the nonparametric rank tests for analysis without prior knowledge and specification of the functional form. We also address the rank problems that occur in multivariate rank tests. Our empirical results provide strong evidence of an unrestricted PPP relationship with reasonably strong evidence of nonlinearity in the data. We also find that some African BRI countries have experienced goods market integration with China during the second‐half period only. This indicates that the introduction of the BRI in 2013 and China's active involvement in African economic development through BRI projects are leading to enhanced goods market integration between China and Africa. The results indicate favorable prospects of closer economic cooperation in the factor, service, and financial markets to build a free trade area or common markets with BRI countries in Africa.

show abstract

“…Although there are many studies on inflation convergence in the literature, there is a limited number of studies on food inflation convergence. In the literature, researchers such as Akdi & Şahin (2007), Tasic (2007), Yılmazkuday (2013), Apergis et al (2021), andWoo et al (2020), Fan et al (2022), Çakır & Gündüz (2022) have analyzed the convergence of food inflation. Among these researchers, Akdi & Şahin (2007) and Apergis et al (2021) used unit root tests, Woo et al (2020) used cointegration order tests, Fan et al (2022) and Çakır & Gündüz (2022) used log t test to determine the existence of food inflation convergence.…”

Section: Introductionmentioning

confidence: 99%

“…In the literature, researchers such as Akdi & Şahin (2007), Tasic (2007), Yılmazkuday (2013), Apergis et al (2021), andWoo et al (2020), Fan et al (2022), Çakır & Gündüz (2022) have analyzed the convergence of food inflation. Among these researchers, Akdi & Şahin (2007) and Apergis et al (2021) used unit root tests, Woo et al (2020) used cointegration order tests, Fan et al (2022) and Çakır & Gündüz (2022) used log t test to determine the existence of food inflation convergence. Fan et al (2022) and Çakır and Gündüz (2022) conclude that countries or regions do not converge to a single common food inflation but rather in the form of club convergence.…”

Section: Introductionmentioning

confidence: 99%

Analysis of food inflation convergence in NUTSII regions of Türkiye

İĞDELİ

2024

Ömer Halisdemir Üniversitesi İktisadi Ve İdari Bilimler Fakültesi Dergisi

View full text Add to dashboard Cite

In this research, it is examined whether the increase in food inflation observed in Turkey in recent years due to global factors as well as the slowdown in food inflation convergence among regions. In this context, the research aims to analyze the food inflation convergence among NUTS II regions. Since it takes into account the effect of global shocks, tests that take structural break into account are used. In addition, first and second generation tests that do not take into account the structural break are also used and the all test findings are compared. The findings differ according to the consideration of horizontal cross-section dependence and structural break. In addition, the findings also vary according to the a priori determination of the structural break. According to the findings of the test taking into account the soft break, the existence of food inflation convergence among regions except TR83 region is found. The second generation test findings also support this result. In line with the findings, it is concluded that the increase in food inflation observed in Turkey in recent years is not due to the slowdown in food inflation convergence across regions.

show abstract

Price convergence in the UK supermarket chains: Evidence from nonlinear cointegration approach

Cited by 3 publications

References 20 publications

Modeling Exchange rate -interest rate differential nexus in BRICS: The role asymmetry and structural breaks

Modeling Exchange rate -interest rate differential nexus in BRICS: The role asymmetry and structural breaks

Tests of goods market integration between China and African BRI countries

Analysis of food inflation convergence in NUTSII regions of Türkiye

Contact Info

Product

Resources

About