Differentiation between Japanese Sweet Potatoes and Ones from Other Countries: Focusing on Product Aggregation

Abstract

The objective of this study is to judge whether Japanese sweet potatoes are differentiated in the Hong Kong and Singapore imported sweet potato market, where most Japanese sweet potatoes are exported to. The methods used in this study are generalized composite commodity theorem and the law of one price in terms of horizontal price transmission between imported sweet potatoes from several countries in the two countries above. The results suggest that Japanese sweet potatoes are differentiated in Hong Kong. However, it is not the case with Singapore.