2 m). For the study of the asymmetry, the Johansen cointegration analysis was used while at the same time two dynamic models were estimated: The Error Correction Model (ECM Model), and the LSE-Henry general to specific model (GETS model). With the assistance of the cointegration technique, we surveyed the existence of a long-run relationship between the producers and the consumers in the Greek round wood market, while the application of the Granger causality test has shown that the consumer price Granger causes the producer price whereas the reverse is not valid. Furthermore, the application of the GETS model confirmed the existence of asymmetry in the price transmission mechanism within the round wood market. Finally, the role of imports in the determination of the producer prices is vital and is confirmed by the findings of the cointegration technique and the Granger causality test.">  2 m). For the study of the asymmetry, the Johansen cointegration analysis was used while at the same time two dynamic models were estimated: The Error Correction Model (ECM Model), and the LSE-Henry general to specific model (GETS model). With the assistance of the cointegration technique, we surveyed the existence of a long-run relationship between the producers and the consumers in the Greek round wood market, while the application of the Granger causality test has shown that the consumer price Granger causes the producer price whereas the reverse is not valid. Furthermore, the application of the GETS model confirmed the existence of asymmetry in the price transmission mechanism within the round wood market. Finally, the role of imports in the determination of the producer prices is vital and is confirmed by the findings of the cointegration technique and the Granger causality test.">
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Asymmetry in price transmission between the producer and the consumer prices in the wood sector and the role of imports: The case of Greece

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  • Koutroumanidis, Theodoros
  • Zafeiriou, Eleni
  • Arabatzis, Garyfallos
Abstract
The present paper studies the existence of asymmetry in the price transmission mechanism between the producer and the consumer prices in the sector of forest products. In particular, the research is focused [omicron]n the round wood of long length (>Â 2Â m). For the study of the asymmetry, the Johansen cointegration analysis was used while at the same time two dynamic models were estimated: The Error Correction Model (ECM Model), and the LSE-Henry general to specific model (GETS model). With the assistance of the cointegration technique, we surveyed the existence of a long-run relationship between the producers and the consumers in the Greek round wood market, while the application of the Granger causality test has shown that the consumer price Granger causes the producer price whereas the reverse is not valid. Furthermore, the application of the GETS model confirmed the existence of asymmetry in the price transmission mechanism within the round wood market. Finally, the role of imports in the determination of the producer prices is vital and is confirmed by the findings of the cointegration technique and the Granger causality test.

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  • Koutroumanidis, Theodoros & Zafeiriou, Eleni & Arabatzis, Garyfallos, 2009. "Asymmetry in price transmission between the producer and the consumer prices in the wood sector and the role of imports: The case of Greece," Forest Policy and Economics, Elsevier, vol. 11(1), pages 56-64, January.
    • Handle: RePEc:eee:forpol:v:11:y:2009:i:1:p:56-64
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    3. Shang, Di & Diao, Gang & Zhao, Xiaodi, 2020. "Have China's regulations on imported waste paper improved its quality," Forest Policy and Economics, Elsevier, vol. 119(C).
    4. Jing Sun & Jinhui Xu & Xin Cheng & Jichao Miao & Hairong Mu, 2023. "Dynamic causality between PPI and CPI in China: A rolling window bootstrap approach," International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 28(2), pages 1279-1289, April.
    5. Arabatzis, Garyfallos & Klonaris, Stathis, 2009. "An analysis of Greek wood and wood product imports: Evidence from the linear quadratic aids," Forest Policy and Economics, Elsevier, vol. 11(4), pages 266-270, July.
    6. Arabatzis, Garyfallos & Petridis, Konstantinos & Galatsidas, Spyros & Ioannou, Konstantinos, 2013. "A demand scenario based fuelwood supply chain: A conceptual model," Renewable and Sustainable Energy Reviews, Elsevier, vol. 25(C), pages 687-697.
    7. Ahn, Byeong-Il & Lee, Hyunok, 2013. "Asymmetric transmission between factory and wholesale prices in fiberboard market in Korea," Journal of Forest Economics, Elsevier, vol. 19(1), pages 1-14.
    8. Li, Sisi & Khan, Sufyan Ullah & Yao, Yao & Chen, George S. & Zhang, Lin & Salim, Ruhul & Huo, Jiaying, 2022. "Estimating the long-run crude oil demand function of China: Some new evidence and policy options," Energy Policy, Elsevier, vol. 170(C).
    9. Sun, Changyou, 2011. "Price dynamics in the import wooden bed market of the United States," Forest Policy and Economics, Elsevier, vol. 13(6), pages 479-487, July.
    10. Eirini Kostaridou & Nikolaos Siatis & Eleni Zafeiriou, 2024. "Resource Price Interconnections and the Impact of Geopolitical Shocks Using Granger Causality: A Case Study of Ukraine–Russia Unrest," JRFM, MDPI, vol. 17(6), pages 1-20, June.
    11. Dalia Streimikiene & Grigorios L. Kyriakopoulos & Gintare Stankuniene, 2022. "Review of Energy and Climate Plans of Baltic States: The Contribution of Renewables for Energy Production in Households," Energies, MDPI, vol. 15(20), pages 1-16, October.
    12. Seyed Safdar Hosseini & Zahra Alizadeh Khalifehmahaleh, 2013. "Market Structure and Price Adjustment in the Iranian Tea Market," Iranian Economic Review (IER), Faculty of Economics,University of Tehran.Tehran,Iran, vol. 18(2), pages 1-19, spring.

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