Price Transmission, Market Power and Returns to Scale

In this paper, we aim to model the vertical relation between retailers and suppliers in the food industry whereby retailers exercise seller power in their relation with consumers and buyer power in their relation with producers. We then evaluate the degree of price transmission, relative to the perfectly competitive benchmark, from the farm to the retail sector assuming a supply shock. With the view to evaluating the impact of market power's interaction with industry technology on the degree of price transmission, we assume industry technology to be characterised by variable input proportions and non-constant returns to scale. Our model predicts that, relative to that which obtains when markets are perfectly competitive and industry technology is characterised by constant returns to scale, the degree of price transmission when market power and industry technology interact cannot be unambiguously determined.price transmission, returns to scale, market power, Demand and Price Analysis, Marketing, L11, Q13,

Beyond the Golden Era of public health: charting a path from sanitarianism to ecological public health

The paper considers the long-term trajectory of public health and whether a ‘Golden Era’ in Public Health might be coming to an end. While successful elements of the 20th century policy approach need still to be applied in the developing world, two significant flaws are now apparent within its core thinking. It assumes that continuing economic growth will generate sufficient wealth to pay for the public health infrastructure and improvement needed in the 21st century when, in reality, externalised costs are spiralling. Secondly, there is growing mismatch between ecosystems and human progress. While 20th century development has undeniably improved public health, it has also undermined the capacity to maintain life on a sustainable basis and has generated other more negative health consequences. For these and other reasons a rethink about the role, purpose and direction of public health is needed. While health has to be at the heart of any viable notion of progress the dominant policy path offers new versions of the ‘health follows wealth’ position. The paper posits ecological public health as a radical project to reshape the conditions of existence. Both of these broad paths require different functions and purposes from their institutions, professions and politicians. The paper suggests that eco-systems pressures, including climate change, are already adding to pressure for a change of course

Ecological public health: the 21st century's big idea? An essay by Tim Lang and Geof Rayner

It seems to be the fate of public health as concept, movement, and reality to veer between political sensitivity and the obscure margins. Only occasionally does it gain what policy analysts often refer to as traction. Partly this is because public health tends to be about the big picture of society, and thus threatens vested interests. Also, public health proponents have allowed themselves to be corralled into the narrow policy language of individualism and choice. These notions have extensively framed public discussion about health, as though they are not tempered by other values in the real world. As a result, the public health field suffers from poor articulation, image, and understanding. The connection between evidence, policy, and practice is often hesitant, not helped by the fact that public health can often be a matter of political action—a willingness to risk societal change to create a better fit between human bodies and the conditions in which they live. We have reviewed how public health theory and practice have evolved over the last two or three centuries, and looked at the challenges present and ahead, and we conclude a rethink is in order. In difficult economic times, public health too easily falls down the political agenda. It is judged worthy but not a political priority. Yet there is strong evidence that health is societally determined, that public health is high in the public’s notion of what a good society is, and that health underpins economics

Spectral Energy Distributions for Disk and Halo M--Dwarfs

We have obtained infrared (1 to 2.5 micron) spectroscopy for 42 halo and disk dwarfs with spectral type M1 to M6.5. These data are compared to synthetic spectra generated by the latest model atmospheres of Allard & Hauschildt. Photospheric parameters metallicity, effective temperature and radius are determined for the sample. We find good agreement between observation and theory except for known problems due to incomplete molecular data for metal hydrides and water. The metal-poor M subdwarfs are well matched by the models as oxide opacity sources are less important in this case. The derived effective temperatures for the sample range from 3600K to 2600K; at these temperatures grain formation and extinction are not significant in the photosphere. The derived metallicities range from solar to one-tenth solar. The radii and effective temperatures derived agree well with recent models of low mass stars.Comment: 24 pages including 13 figures, 4 Tables; accepted by Ap

Antimicrobial resistance and biological governance: explanations for policy failure

The paper reviews the state of policy on antimicrobial use and the growth of antimicrobial resistance (AMR). AMR was anticipated at the time of the first use of antibiotics by their originators. For decades, reports and scientific papers have expressed concern about AMR at global and national policy levels, yet the problem, first exposed a half-century ago, worsened. The paper considers the explanations for this policy failure and the state of arguments about ways forward. These include: a deficit of economic incentivisation; complex interventions in behavioural dynamics; joint and separate shifts in medical and animal health regimes; consumerism; belief in technology; and a narrative that in a ‘war on bugs’ nature can be beaten by human ingenuity. The paper suggests that these narratives underplay the biological realities of the human-animal-biosphere being in constant flux, an understanding which requires an ecological public health analysis of AMR policy development and failure. The paper suggests that effective policy change requires simultaneous actions across policy levels. No single solution is possible, since AMR is the result of long-term human intervention which has accelerated certain trends in the evolution of a microbial ecosystem shared by humans, animals and other biological organism inhabiting that ecosystem. Viewing the AMR crisis today through an ecological public health lens has the advantage of reuniting the social-ecological and bio-ecological perspectives which have been separated within public health

Market Power in UK Food Retailing: Theory and Evidence from Seven Product Groups

Establishing the presence of market power in food chains has become an increasingly pertinent line of enquiry given the trend towards increasing concentration that has been observed in many parts of the world. This paper presents a theoretical model of price transmission in vertically related markets under imperfect competition. The model delivers a quasi-reduced form representation that is empirically tractable using readily available market data to test for the presence of market power. In particular, we show that the hypothesis of perfect competition can be rejected if shocks to the demand and supply function are significant and correctly signed in price transmission equations. Using a cointegrated vector autoregression, we find empirical results that are consistent with downstream market power in six out of seven food products investigated, supporting both the findings of the UK competition authority's recent investigation in to supermarkets and renewed calls for further scrutiny of supermarket behaviour by the UK's Office of Trading.imperfect competition, Cointegrated VARs, UK food industry, Marketing, D4, L81,