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Future Business Journal

Table 8 Asymmetric vertical price transmission

From: Market integration and asymmetric price transmission in selected domestic markets for major staple foods in Uganda

Market

Long-run estimates

Estimates from the ECM

MATOKE [ARDL (1, 1, 2)]

 Kampala

LR symmetry imposed

ΔWP_Kampala+

0.6753*** (13.7032)

WP_Kampala

0.8031*** (25.3141)

ΔWP_Kampala−

0.7582*** (15.4669)

C

1.5638*** (7.4771)

ΔWP_Kampala−(− 1)

0.1162** (2.2510)

  

ECT(− 1)

− 0.6916*** (− 7.5234)

  

R− squared

0.9422

  

DW stat

2.0357

BEANS [ARDL (3, 0, 0)]

Kampala

WP_Kampala+

0.6300*** (13.8449)

ΔRP_Kampala(− 1)

0.1515*** (2.6978)

WP_Kampala−

0.6102*** (12.7834)

ΔRP_Kampala(− 2)

− 0.0825 (− 1.3751)

C

7.6196*** (380.4755)

ECT(− 1)

− 0.7603*** (− 13.327)

  

R− squared

0.8713

  

DW stat

1.9016

MAIZE [ARDL (2, 5, 4)]

 Masindi

WP_Masindi+

0.3118*** (10.1164)

ΔRP_Masindi(− 1)

0.1766* (1.7860)

WP_Masindi−

0.2895*** (8.9469)

ΔWP_Masindi+

0.2049** (2.6186)

C

7.0720*** (231.6469)

ΔWP_Masindi+(− 1)

− 0.2118** (− 2.4495)

  

ΔWP_Masindi+(− 2)

− 0.1299* (− 1.6996)

  

ΔWP_Masindi+(− 3)

− 0.1846** (− 2.5343)

  

ΔWP_Masindi+(− 4)

− 0.2906*** (− 4.1340)

  

ΔWP_Masindi−

0.2239*** (3.7842)

  

ΔWP_Masindi−(− 1)

0.1365** (2.0404)

  

ΔWP_Masindi−(− 2)

0.0767 (1.1843)

  

ΔWP_Masindi−(− 3)

0.1556** (2.3420)

  

ECT(− 1)

− 0.8816*** (− 7.9013)

  

R-squared

0.7803

  

DW stat

2.1728

  1. LR denotes long run, the causal order is WP =  > RP across all markets for all commodities, the superscripts “+” and “−” denote positive and negative partial sums, respectively, Δ denotes the first difference operator, *, **, and *** denote significance at the 10%, 5%, and 1% levels, respectively, ECT is the Error Correction Term, figures in parentheses () are t-statistics
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