Determination of the Effect of Price Fluctuations on Producer Income – the Case of Potatoes

Prices of agricultural products fluctuate depending upon several factors. In Turkey, potatoes are one of the main products for which price fluctuations are observed. This study was undertaken to determine the effect of the fluctuation in potato prices on producer incomes in Turkey. The Neyman Method...

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Main Authors: Hasan Arısoy, Zeki Bayramoğlu
Format: Article
Language:English
Published: Hasan Eleroğlu 2017-10-01
Series:Turkish Journal of Agriculture: Food Science and Technology
Subjects:
Online Access:http://www.agrifoodscience.com/index.php/TURJAF/article/view/1356
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author Hasan Arısoy
Zeki Bayramoğlu
author_facet Hasan Arısoy
Zeki Bayramoğlu
author_sort Hasan Arısoy
collection DOAJ
description Prices of agricultural products fluctuate depending upon several factors. In Turkey, potatoes are one of the main products for which price fluctuations are observed. This study was undertaken to determine the effect of the fluctuation in potato prices on producer incomes in Turkey. The Neyman Method was used to determine the sample size. The number of enterprises required to achieve a representative sample size was determined to be 56, with a 5% error margin and a 95% reliability limit. The way in which the potato cultivation area is affected by price was examined. The Koyck model was utilized for this purpose. By using Koyck analysis, average lag time was calculated to be approximately 1 year. This result indicates that the fluctuation in potato prices has quite a rapid effect on production. It was determined that producer income varies greatly depending on annual potato prices. The difference between estimated potato price and the actual price for the year 2012 resulted in an income loss of 11,198.6 $/ha. Some sustainable efforts such as production planning can be recommended to prevent these price fluctuations.
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institution DOAJ
issn 2148-127X
language English
publishDate 2017-10-01
publisher Hasan Eleroğlu
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series Turkish Journal of Agriculture: Food Science and Technology
spelling doaj-art-a198f6d1b8534e9babc47b084a2d18ca2025-08-20T03:18:59ZengHasan EleroğluTurkish Journal of Agriculture: Food Science and Technology2148-127X2017-10-015111342134910.24925/turjaf.v5i11.1342-1349.1356651Determination of the Effect of Price Fluctuations on Producer Income – the Case of PotatoesHasan Arısoy0Zeki BayramoğluDepartment of Agricultural Economics, Faculty of Agriculture, Selcuk University, 42075 Selcuklu/KonyaPrices of agricultural products fluctuate depending upon several factors. In Turkey, potatoes are one of the main products for which price fluctuations are observed. This study was undertaken to determine the effect of the fluctuation in potato prices on producer incomes in Turkey. The Neyman Method was used to determine the sample size. The number of enterprises required to achieve a representative sample size was determined to be 56, with a 5% error margin and a 95% reliability limit. The way in which the potato cultivation area is affected by price was examined. The Koyck model was utilized for this purpose. By using Koyck analysis, average lag time was calculated to be approximately 1 year. This result indicates that the fluctuation in potato prices has quite a rapid effect on production. It was determined that producer income varies greatly depending on annual potato prices. The difference between estimated potato price and the actual price for the year 2012 resulted in an income loss of 11,198.6 $/ha. Some sustainable efforts such as production planning can be recommended to prevent these price fluctuations.http://www.agrifoodscience.com/index.php/TURJAF/article/view/1356price fluctuationproducer incomepotatokoyck modelcobweb theory
spellingShingle Hasan Arısoy
Zeki Bayramoğlu
Determination of the Effect of Price Fluctuations on Producer Income – the Case of Potatoes
Turkish Journal of Agriculture: Food Science and Technology
price fluctuation
producer income
potato
koyck model
cobweb theory
title Determination of the Effect of Price Fluctuations on Producer Income – the Case of Potatoes
title_full Determination of the Effect of Price Fluctuations on Producer Income – the Case of Potatoes
title_fullStr Determination of the Effect of Price Fluctuations on Producer Income – the Case of Potatoes
title_full_unstemmed Determination of the Effect of Price Fluctuations on Producer Income – the Case of Potatoes
title_short Determination of the Effect of Price Fluctuations on Producer Income – the Case of Potatoes
title_sort determination of the effect of price fluctuations on producer income the case of potatoes
topic price fluctuation
producer income
potato
koyck model
cobweb theory
url http://www.agrifoodscience.com/index.php/TURJAF/article/view/1356
work_keys_str_mv AT hasanarısoy determinationoftheeffectofpricefluctuationsonproducerincomethecaseofpotatoes
AT zekibayramoglu determinationoftheeffectofpricefluctuationsonproducerincomethecaseofpotatoes