The Vertical Price Transmission in Pork Meat Production in the Czech Republic

The paper aims at vertical price transmission of the agri-food market in Czech Republic. It is focused on analysis pork meat by investigating short-run and long-run relationships within product speed establishing equilibrium relationship. For this purpose, there employed specially VECM (Vector Error Correction Model), impulse-response analysis, decomposition variance VECM, which show system’s reaction. applied approach considers five alternatives Johansen approach. results suggest that an existence relationship markets simultaneous demand-driven. analyses response processing to one standard deviation shock agriculture from approximately 15–20 periods reaching equilibrium. also periods.