October 19, 2010 at 10:00 am
Austin FraktThe economist’s question, “What’s that got to do with the price of tea in China?” cannot be answered because, as far as I can tell, there is no available time series on the price of tea in China. I scoured the internet. Not there (prove me wrong, please).
If one wishes to believe that the price of tea in China is closely correlated with the (commodity) auction price of Mombasa, Kenya tea then the following time series will do just fine.
But couldn’t China’s manipulation of its currency cause its tea price to deviate from the commodity price? Moreover, I want to know the price of tea in China, not the price of Chinese tea on the world market.
At the moment, asking what something has to do with the price of tea in China is an unfair question. Nobody can know the answer empirically. Of course, theoretically, the answer is, “Nothing.” But theorists can be wrong.
Comments closed
by steve on October 19th, 2010 at 21:22
“What’s that got to do with the price of tea in China?”
It sure dominated British policy for many years. It appeared to have a lot to do with the price of opium.
http://www.hygra.com/teaand.htm
Steve
by Bill on March 19th, 2012 at 15:34
Tea isn’t traded like a commodity like coffee?
by Barsa on April 25th, 2012 at 18:40
Somewhere at “chacha.com” they list the price of tea in China as 152 yen. Not sure how much tea. Or where in China. But at least that’s something. Sort of….