Abstract
Beef consumption needs of Indonesian population tends to increase with the increasing number of the population and public awareness of the importance of animal protein. Meanwhile the price of beef and broiler meat are fluctuative. The value of volatility describes how much the level of risk that will be faced in the future. Fluctuations in the price of beef and broiler meat can be caused by the unequilibrium of supply and demand. The objectives of this research are (1) to identify the price volatility forecasting models of beef and broiler meat in Indonesia, (2) to identify factors that affect the price volatility of beef and broiler meat in Indonesia, and (3) to identify alternative strategies related to the price volatility of beef and broiler meat in Indonesia. This research used secondary data with the time series form in the period of February 2003 to February 2013. In this research ARCH-GARCH was used to analyze the price volatility of beef and broiler meat in Indonesia. This analysis showed that the price volatility of beef and broiler meat in Indonesia would be smaller. Factors that affect the price volatility of beef in Indonesia are the price volatility of previous period and the price variance of the previous period. While the factors that affects the price volatility of broiler meat in Indonesia is the amount of price volatility in the previous period.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
