Institutional contributions to agricultural producer price stability

Abstract

AbstractThis paper compares the main intersectoral and national agricultural institutions in Russia and Switzerland during the period 2004–2019 and uses data from the Food and Agriculture Organization (FAO), an ordinary least squares model and fixed-effects models to assess the contributions of governments, sectoral producer organisations and companies to agricultural producer price stability. We find significant correlations of price stability with institutional settings that increase actor flexibility—namely a high share of imports in consumption and embedding the supply chain into a network. Our results show that agricultural producer price stability in Russia and Switzerland does not decrease during the period 2004–2019 and depends on both institutional conditions and economic factors.