Regional differences in agricultural food prices as a factor in the dynamics and stability of national agriculture

Among the many factors and conditions that influence the state and dynamics of prices, the phenomenon of spatial differences has remained poorly studied until recently. The latter determine the flow of capital, technology, labor, and goods between industries and types of activity and, ultimately, lead to price stabilization. Although in some cases these same differences serve as the basis for dynamic fluctuations in the price trajectory and industry development. Until recently, the issue of spatial differences in prices (as well as the ongoing equalization) was considered as the cause of resource differences (the concentration of various resources in regional markets), accordingly, it was solved by targeted (as in directive economies) or spontaneous/opportunistic (as in market economies) injections of resources into regions with high prices. On the other hand, the state and other institutional actors purposefully injected resources into territories with low prices in order to "revive" economic life in the latter. However, a closer examination shows that the so-called alignment (and therefore movement) of prices occurs long before the movement of goods, materials, labor, and financial resources begins. We are talking about expectations and "looking over one's shoulders". The latter create a specific state of psychology of economic agents, stimulating them to take various risks, and thus "heating up" the market situation. The present study is devoted to identifying this phenomenon in the dynamics of prices of agricultural products.

Authors

Publication Details

Journal
Izvestiya of Kabardino-Balkarian State Agrarian University named after V M Kokov
Published
2025-01-01
DOI
https://doi.org/10.55196/2411-3492-2025-1-47-114-124
Primary Topic
Agriculture Market Analysis Ukraine
Type
article
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article

Regional differences in agricultural food prices as a factor in the dynamics and stability of national agriculture

KHadis Magomedovich Rakhaev, Madina Eneeva, Natella M Duguzheva
Izvestiya of Kabardino-Balkarian State Agrarian University named after V M Kokov
Agriculture Market Analysis Ukraine
article

Regional differences in agricultural food prices as a factor in the dynamics and stability of national agriculture

KHadis Magomedovich Rakhaev, Madina Eneeva, Natella M Duguzheva
article en

Abstract

Among the many factors and conditions that influence the state and dynamics of prices, the phenomenon of spatial differences has remained poorly studied until recently. The latter determine the flow of capital, technology, labor, and goods between industries and types of activity and, ultimately, lead to price stabilization. Although in some cases these same differences serve as the basis for dynamic fluctuations in the price trajectory and industry development. Until recently, the issue of spatial differences in prices (as well as the ongoing equalization) was considered as the cause of resource differences (the concentration of various resources in regional markets), accordingly, it was solved by targeted (as in directive economies) or spontaneous/opportunistic (as in market economies) injections of resources into regions with high prices. On the other hand, the state and other institutional actors purposefully injected resources into territories with low prices in order to "revive" economic life in the latter. However, a closer examination shows that the so-called alignment (and therefore movement) of prices occurs long before the movement of goods, materials, labor, and financial resources begins. We are talking about expectations and "looking over one's shoulders". The latter create a specific state of psychology of economic agents, stimulating them to take various risks, and thus "heating up" the market situation. The present study is devoted to identifying this phenomenon in the dynamics of prices of agricultural products.

Izvestiya of Kabardino-Balkarian State Agrarian University named after V M Kokov(1(47))
Openalex Percentile: Top 90%
Agriculture Market Analysis Ukraine
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