Prices of aquaculture and capture fisheries products in India: the highs and the lows
摘要
Whereas most analyses of prices for seafood have focused on point-valued prices, typically means over a period, in this paper we analyze time series of the intervals created by the maximum (i.e., high) and the minimum (i.e., low) prices constructed at monthly frequency. This is important as seafood prices in general are characterized by high volatility. Our econometric analysis is based on the notion that the highs and the lows of prices of a fish product could be cointegrated. That is, there is a stable, long-term relationship between highs and lows of prices of a given fish product so that they do not drift apart forever even though they might move up and down on their own in the short term. Our results indicate that the aquaculture product prices tend to adjust faster towards their long-term equilibrium relationship after a market shock, compared to prices of capture fisheries products.