Projects Funded for Jeremy Magruder

2014-2015

Efficiency Wages in the Temporary Labor Market

2010-2011

The Effects of Information Provision on Purchases of Food Away From Home

Abstract

<p>Do changes in food commodity prices have asymmetric effects on retail grocery prices? For years, farmers, consumer advocates and others have argued that grocery store prices rise rapidly in response to increases in commodity prices, but do not fall equally rapidly when commodity prices drop. We examine pricing in both stores that have regular sales and those that use everyday low pricing and rarely have sales. For both types of stores, we find very little evidence for asymmetric price adjustment. We believe that some earlier studies found asymmetric adjustments because they did not use narrowly defined products, control for all the main factor prices, and use state-of-the-arts estimation procedures.</p>