Abstract

patterns in turn affect costs, we need to understand both to answer questions about market power or farmers' revenues. It is typically said that farm or agricultural and marketing costs drive prices from the supply side and consumers' preferences from the demand side. However, there is an important and increasing gap between these two pieces of the puzzle that stems from the costs of choice, quality, convenience, variety, and other food product characteristics that are in increasing demand. So, if prices or the retailfarm gap increase, does this imply market power or costs of these attributes? Important structural changes involving input composition and the potential for cost economies from coordination and information

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