The volatility of the prices of bean (Phaseolus vulgaris) in Mexico: 2000-2020

Abstract

The objective is to evaluate whether bean prices present volatility clustering effects and whether these have implications for the food security of the population. Symmetric and asymmetric models belonging to the ARCH family were used. They were applied to three bean varieties for eight Mexican markets. The results showed a high persistence of volatility in pinto and black beans, the persistence is bigger in local markets than in those with different point of origin and destination. The volatility of the three varieties impacts on the consumption decisions of the most disadvantaged population.