Research Article
The Role of Mediation in the Transmission of Gasoline Price Effects
Issue:
Volume 12, Issue 4, December 2023
Pages:
112-119
Received:
19 October 2023
Accepted:
3 November 2023
Published:
11 November 2023
Abstract: This analysis aims to investigate the direct and indirect effects of gasoline price increases on the economy. An observational study using monthly data for industrial production, employment, the consumer price index, personal consumption expenditures for services, the consumer price index for gasoline, and the effective federal funds rate for the U.S. from December 1966 through November of 2022 of indirect, direct, and causal effects. Structured equation modeling was used to examine direct and indirect effects. In contrast, impulse response functions with local projections were used to assess the causal nature of responses to a gasoline price impulse. The data is from two sources: the U. S. Bureau of Labor Statistics and FRED, the Federal Reserve Bank of St. Louis. The direct effects (standardized coefficients) of gasoline prices are 0.111 (z = 7.2) and -0046 (z = -0.2) for industrial production and employment models, respectively; the indirect effects are larger at 0.385 (z = 38.7) and 0.292 (z = 27.96). The causal effects show inflation, decreased employment, and industrial production following a gas price impulse. Following an effective federal funds rate impulse, there is no significant effect on employment or industrial production through 48 months, while the effect on the all-items consumer price index is a decrease in prices. The principal effects of an unexpected increase in gasoline prices are indirect, mediated through endogenous economic variables, while the direct effects are small. Gasoline price increases can create conditions associated with economic downturns, such as reduced employment and industrial production. The broad economic effects triggered by gasoline price increases complicate the policy considerations for those guiding the economy. They are complicated by the role of gasoline prices as an environmental policy variable.
Abstract: This analysis aims to investigate the direct and indirect effects of gasoline price increases on the economy. An observational study using monthly data for industrial production, employment, the consumer price index, personal consumption expenditures for services, the consumer price index for gasoline, and the effective federal funds rate for the U...
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Research Article
Determinants of Dairy Products Marketing Participation and Supply: In Case of Chomen Guduru District, Horo Guduru Wollega Zone, Oromia Regional State, Ethiopia
Gizaw Zeleke,
Shibeshi Tolesa
Issue:
Volume 12, Issue 4, December 2023
Pages:
120-127
Received:
26 October 2023
Accepted:
6 December 2023
Published:
28 December 2023
Abstract: Market participation of smallholder agriculture is an indispensable pathway to increase income of rural peoples. Hence, this study was aimed at analyzing Determinants Of Dairy Products Marketing Participation And Supply: In Case Of Chomen Guduru District, Horo Guduru Wollega Zone with specific objectives of identifying the factors affecting smallholder farmers’ milk market participation decision, to identify the determinants level of market participation among smallholder milk market participant farmer’s and identify the challenges and opportunities of milk marketing. The data were obtained from both primary and secondary sources. The primary data for this study were collected from 150 producers. Using structured questionnaires’, key informants, and focus group discussion where used for data collection. To analyze the factors affecting the producers’ market participation decision and level of market participation, double hurdle model was applied. First stage double hurdle model results showed that sex of household head, dairy farming experience, members of cooperative and extension service had positive and significant effect on milk market participation decision. The second stage double hurdle model results showed that age of household head, dairy farming experience and volume of milk produced had positive significance over level of milk participation whereas non frame income activity and distance to the nearest market had negative significant effect on level of milk market participation. The results also revealed that Absence of farmer’s milk cooperative, Seasonal Fluctuation in milk demand and Low bargaining power of farmers were the most pressing milk production and marketing constraints, respectively. Based on the findings, the study recommends that government should give emphasize on rural education system, family planning program, construction of different infrastructure and establish, collective organizations across rural areas like dairy cooperatives are assumed to play important role to faster delivery of farm produces, and Policy makers should provide market price information to smallholder’s.
Abstract: Market participation of smallholder agriculture is an indispensable pathway to increase income of rural peoples. Hence, this study was aimed at analyzing Determinants Of Dairy Products Marketing Participation And Supply: In Case Of Chomen Guduru District, Horo Guduru Wollega Zone with specific objectives of identifying the factors affecting smallho...
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