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An Economic Analysis Of The Determinants Of Lumber Futures Price Movements

Author

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  • Rucker, Randal R.
  • Thurman, Walter N.
  • Yoder, Jonathan K.

Abstract

Recent lumber price volatility has been attributed to Spotted Owl Litigation and U.S.-Canada trade disputes. We use intervention analysis to explain daily lumber futures price volatility based on these events and other factors. The way information enters the market is shown to affect the speed and extent of market reaction.

Suggested Citation

  • Rucker, Randal R. & Thurman, Walter N. & Yoder, Jonathan K., 1999. "An Economic Analysis Of The Determinants Of Lumber Futures Price Movements," 1999 Annual meeting, August 8-11, Nashville, TN 21706, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    • Handle: RePEc:ags:aaea99:21706
    DOI: 10.22004/ag.econ.21706
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    References listed on IDEAS

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    1. Brian C. Murray & David N. Wear, 1998. "Federal Timber Restrictions and Interregional Arbitrage in U.S. Lumber," Land Economics, University of Wisconsin Press, vol. 74(1), pages 76-91.
    2. Thomas L. Mann & Richard J. Dowen, 1996. "Are hog and pig reports informative?," Journal of Futures Markets, John Wiley & Sons, Ltd., vol. 16(3), pages 273-287, May.
    3. Morse, D, 1981. "Price And Trading Volume Reaction Surrounding Earnings Announcements - A Closer Examination," Journal of Accounting Research, Wiley Blackwell, vol. 19(2), pages 374-383.
    4. Rodney G. Robenstein & Walter N. Thurman, 1996. "Health Risk and the Demand for Red Meat: Evidence from Futures Markets," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 18(4), pages 629-641.
    5. Montgomery Claire A. & Brown Jr. , Gardner M. & Adams Darius M., 1994. "The Marginal Cost of Species Preservation: The Northern Spotted Owl," Journal of Environmental Economics and Management, Elsevier, vol. 26(2), pages 111-128, March.
    6. Ellison, Sara Fisher & Mullin, Wallace P, 1995. "Economics and Politics: The Case of Sugar Tariff Reform," Journal of Law and Economics, University of Chicago Press, vol. 38(2), pages 335-366, October.
    7. Ball, Clifford A. & Torous, Walter N., 1988. "Investigating security-price performance in the presence of event-date uncertainty," Journal of Financial Economics, Elsevier, vol. 22(1), pages 123-153, October.
    8. Fama, Eugene F, et al, 1969. "The Adjustment of Stock Prices to New Information," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 10(1), pages 1-21, February.
    9. Schwert, G William, 1981. "Using Financial Data to Measure Effects of Regulation," Journal of Law and Economics, University of Chicago Press, vol. 24(1), pages 121-158, April.
    10. Daniel A. Summer & Rolf A. E. Mueller, 1989. "Are Harvest Forecasts News? USDA Announcements and Futures Market Reactions," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 71(1), pages 1-8.
    11. Seung‐Ryong Yang & B. Wade Brorsen, 1995. "Price limits as an explanation of thin‐tailedness in pork bellies futures prices," Journal of Futures Markets, John Wiley & Sons, Ltd., vol. 15(1), pages 45-59, February.
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    Cited by:

    1. James E. Henderson & Tina M. Willson & Michael A. Dunn & Richard F. Kazmierczak, 2009. "The Impact Of Forestry‐Related Ordinances On Timber Harvesting In St. Tammany Parish, Louisiana," Contemporary Economic Policy, Western Economic Association International, vol. 27(1), pages 67-75, January.
    2. Henderson, James E. & Willson, Tina M. & Dunn, Michael A. & Kazmierczak, Richard F., Jr., 2006. "The Role of Local Policies on Resource Utilization: Timber Harvesting in St. Tammany Parish, Louisiana," 2006 Annual Meeting, February 5-8, 2006, Orlando, Florida 35397, Southern Agricultural Economics Association.

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    More about this item

    Keywords

    Environmental Economics and Policy; Resource/Energy Economics and Policy;

    JEL classification:

    • D4 - Microeconomics - - Market Structure, Pricing, and Design

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