Price transmission in the eggs supply chain with application MCM

The price transmission mechanism of the eggs supply chain in China was studied by designing a Market-chain Cooperated Model(MCM).Monthly price dates over the period from June 2000 to February 2012 were covered in this work which including legehenne compound feed,goods generation of chicks,Eggs wholesale price and retail price.The empirical results show the existence of a long-term cointegration relationship in the price system of eggs supply chain.The adjustment factor of each price in the system was less than 0.2,which meant that the price adjustment speed was very slow.Legehenne compound feed and eggs wholesale price both were the Granger causes of eggs retail price,but the eggs retail price was the only Granger cause of goods generation of chicks.Finally,we founded that the price of legehenne compound feed had the largest dynamic impact on eggs retail price and played an important role in the whole eggs supply chain.All of the findings implied that the government needed to increase the monitoring and warning for the prices in the supply chain,especially paid more attention to timely intervening and the control on the feed price.