Analysis of a Japan government intervention on the domestic agriculture market

Nikolay K. Vitanov, Kenshi Sakai, Ivan P. Jordanov, Shunsuke Managi, Katsuhiko Demura

Research output: Contribution to journalArticle

14 Citations (Scopus)

Abstract

We investigate an economic system in which one large agent-the Japan government changes the environment of numerous smaller agents-the Japan agriculture producers by indirect regulation of prices of agriculture goods. The reason for this intervention was that before the oil crisis in 1974 Japan agriculture production prices exhibited irregular and large amplitude changes. By means of analysis of correlations and a combination of singular spectrum analysis (SSA), principal component analysis (PCA), and time delay phase space construction (TDPSC) we study the influence of the government measures on the domestic piglet prices and production in Japan. We show that the government regulation politics was successful and lead: (i) to a decrease of the nonstationarities and to increase of predictability of the piglet price; (ii) to a coupling of the price and production cycles; and (iii) to increase of determinism of the dynamics of the fluctuations of piglet price around the year average price. The investigated case is an example confirming the thesis that a large agent can change in a significant way the environment of the small agents in complex (economic or financial) systems which can be crucial for their survival or extinction.

Original languageEnglish
Pages (from-to)330-335
Number of pages6
JournalPhysica A: Statistical Mechanics and its Applications
Volume382
Issue number1
DOIs
Publication statusPublished - Aug 1 2007

Fingerprint

agriculture
Agriculture
Japan
economics
politics
theses
principal components analysis
spectrum analysis
Singular Spectrum Analysis
Economics
extinction
time lag
oils
Determinism
Nonstationarity
Predictability
cycles
Government
Market
Extinction

All Science Journal Classification (ASJC) codes

  • Statistics and Probability
  • Condensed Matter Physics

Cite this

Analysis of a Japan government intervention on the domestic agriculture market. / Vitanov, Nikolay K.; Sakai, Kenshi; Jordanov, Ivan P.; Managi, Shunsuke; Demura, Katsuhiko.

In: Physica A: Statistical Mechanics and its Applications, Vol. 382, No. 1, 01.08.2007, p. 330-335.

Research output: Contribution to journalArticle

Vitanov, Nikolay K. ; Sakai, Kenshi ; Jordanov, Ivan P. ; Managi, Shunsuke ; Demura, Katsuhiko. / Analysis of a Japan government intervention on the domestic agriculture market. In: Physica A: Statistical Mechanics and its Applications. 2007 ; Vol. 382, No. 1. pp. 330-335.
@article{f593454abf2d49cfa7a862fdce2a9a30,
title = "Analysis of a Japan government intervention on the domestic agriculture market",
abstract = "We investigate an economic system in which one large agent-the Japan government changes the environment of numerous smaller agents-the Japan agriculture producers by indirect regulation of prices of agriculture goods. The reason for this intervention was that before the oil crisis in 1974 Japan agriculture production prices exhibited irregular and large amplitude changes. By means of analysis of correlations and a combination of singular spectrum analysis (SSA), principal component analysis (PCA), and time delay phase space construction (TDPSC) we study the influence of the government measures on the domestic piglet prices and production in Japan. We show that the government regulation politics was successful and lead: (i) to a decrease of the nonstationarities and to increase of predictability of the piglet price; (ii) to a coupling of the price and production cycles; and (iii) to increase of determinism of the dynamics of the fluctuations of piglet price around the year average price. The investigated case is an example confirming the thesis that a large agent can change in a significant way the environment of the small agents in complex (economic or financial) systems which can be crucial for their survival or extinction.",
author = "Vitanov, {Nikolay K.} and Kenshi Sakai and Jordanov, {Ivan P.} and Shunsuke Managi and Katsuhiko Demura",
year = "2007",
month = "8",
day = "1",
doi = "10.1016/j.physa.2007.02.025",
language = "English",
volume = "382",
pages = "330--335",
journal = "Physica A: Statistical Mechanics and its Applications",
issn = "0378-4371",
publisher = "Elsevier",
number = "1",

}

TY - JOUR

T1 - Analysis of a Japan government intervention on the domestic agriculture market

AU - Vitanov, Nikolay K.

AU - Sakai, Kenshi

AU - Jordanov, Ivan P.

AU - Managi, Shunsuke

AU - Demura, Katsuhiko

PY - 2007/8/1

Y1 - 2007/8/1

N2 - We investigate an economic system in which one large agent-the Japan government changes the environment of numerous smaller agents-the Japan agriculture producers by indirect regulation of prices of agriculture goods. The reason for this intervention was that before the oil crisis in 1974 Japan agriculture production prices exhibited irregular and large amplitude changes. By means of analysis of correlations and a combination of singular spectrum analysis (SSA), principal component analysis (PCA), and time delay phase space construction (TDPSC) we study the influence of the government measures on the domestic piglet prices and production in Japan. We show that the government regulation politics was successful and lead: (i) to a decrease of the nonstationarities and to increase of predictability of the piglet price; (ii) to a coupling of the price and production cycles; and (iii) to increase of determinism of the dynamics of the fluctuations of piglet price around the year average price. The investigated case is an example confirming the thesis that a large agent can change in a significant way the environment of the small agents in complex (economic or financial) systems which can be crucial for their survival or extinction.

AB - We investigate an economic system in which one large agent-the Japan government changes the environment of numerous smaller agents-the Japan agriculture producers by indirect regulation of prices of agriculture goods. The reason for this intervention was that before the oil crisis in 1974 Japan agriculture production prices exhibited irregular and large amplitude changes. By means of analysis of correlations and a combination of singular spectrum analysis (SSA), principal component analysis (PCA), and time delay phase space construction (TDPSC) we study the influence of the government measures on the domestic piglet prices and production in Japan. We show that the government regulation politics was successful and lead: (i) to a decrease of the nonstationarities and to increase of predictability of the piglet price; (ii) to a coupling of the price and production cycles; and (iii) to increase of determinism of the dynamics of the fluctuations of piglet price around the year average price. The investigated case is an example confirming the thesis that a large agent can change in a significant way the environment of the small agents in complex (economic or financial) systems which can be crucial for their survival or extinction.

UR - http://www.scopus.com/inward/record.url?scp=34249794552&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=34249794552&partnerID=8YFLogxK

U2 - 10.1016/j.physa.2007.02.025

DO - 10.1016/j.physa.2007.02.025

M3 - Article

AN - SCOPUS:34249794552

VL - 382

SP - 330

EP - 335

JO - Physica A: Statistical Mechanics and its Applications

JF - Physica A: Statistical Mechanics and its Applications

SN - 0378-4371

IS - 1

ER -