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Demand and Competition Among Supply Sources: The Indonesian Fruit Import Market

Published online by Cambridge University Press:  28 April 2015

R. M. Andayani
Affiliation:
Department of Agricultural Economics, Oklahoma State University
Daniel S. Tilley
Affiliation:
Department of Agricultural Economics, Oklahoma State University

Abstract

Indonesia is a rapidly growing and competitive market for U.S. fruit. A restricted, source-differentiated, almost ideal demand system is estimated for apples, oranges, grapes, and other fruit in Indonesia. The Marshallian expenditure elasticities for U.S. fruit are estimated to be between 1.01 and 1.21. For grapes and oranges, competition with other fruits appears to be more important than competition with other supply sources. For apples, strong sourcedifferentiated substitution relationships are found.

Type
Articles
Copyright
Copyright © Southern Agricultural Economics Association 1998

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