Study On Price Transmission Between Commodity Sectors In China

Based on the data of monthly RPI by Category from 2003 to 2015,this paper explores the price transmission between 16 sectors of terminal products,deconstructs the national,urban and rural commodity price transmission network on the system level,reveals the urban-rural price correlation and the influence factors of the national price transmission network in urban and rural areas,and finally use the QAP process measure the structure of the three price transmission network in China,cities and rural areas.The result shows that: Price transmission ubiquitous exists in Chinese market,there is no sector whose price is isolated fluctuate in the national,urban or rural commodity price transmission network.From the perspective of price transmission,a certain degree of sector polarization exists in the urban and rural markets,and the polarization phenomenon of the rural market is particularly prominent.Micro-adjustment of sector price is applicable to Chinese market.Sector of Building Materials and Hardware(BMH),Transportation and Communication Appliances(TCA),Food have strong price influence in Chinese market.Due to the long transmission lag,BMH and TCA's price influence have some "hidden" feature.Between urban and rural markets,7 sectors' price symmetrically transmit and 6 sectors' price asymmetrically transmit.3 sectors' price asymmetrically transmit from urban to rural,and have a strong price influence in the rural market.As the core factor to optimize the allocation of resources,price has a significant impact on economic efficiency and health,price stability is related to the people's livelihood,is one of the four core macro-control objectives,constant exploration of the price mechanism is the eternal topic of economic research.Different from the existing research on the vertical price transmission between the upstream and downstream of the production chain,this paper starts from the new perspective of horizontal price transmission among commodity sectors.Revealing the rich information contained in the relative price is helpful to expand the interpretation of economics on the price mechanism.