著者

Kohei Hayashida

出版者

The Agricultural Economics Society of Japan

雑誌

Japanese Journal of Agricultural Economics (ISSN:24322385)

巻号頁・発行日

vol.22, pp.1-17, 2020-03-31 (Released:2020-05-19)

参考文献数

50

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Research has shown that Japanese retailers have strong buying power when purchasing milk from processors, but not enough is known about differences in market competitiveness at the brand and retailer levels. In order to consider practical knowledges for the Japanese milk market, I used micro-level data to estimate a demand function using a random coefficient logit model that controls for the endogeneity of price due to unobserved heterogeneity. Then, I estimate the demand elasticity for each brand-retail combination in every prefecture each month. The markup was calculated from demand estimates. The results show that, on average, CO-OP milk tended to have a higher markup than NB and PB milk. Using counterfactuals, I find that 13% of milk products had a negative cost pass-through rate, which is concentrated in local NB milk. Finally, I show geographical differences in pass-through rates.