IDEAS home Printed from https://ideas.repec.org/p/ags/gewi13/156255.html
   My bibliography  Save this paper

Structural Changes in Commodity Prices: The Role of Policies

Author

Listed:
  • DeGorter, Harry
  • Just, David
  • Mugera, Harriet Kasidi

Abstract

Food commodity prices have recently increased sharply and become more volatile, highlighting greater uncertainty in markets and serious implications for food security among the poor globally. High fuel prices combined with legislative policies have increased biofuel production causing high food prices and establishing a link between fuel and agricultural prices. This research analyses the role of biofuel, agricultural and energy policies in affecting the relationships between agricultural and energy commodity prices over the last decade. The presence and the nature of structural breaks are empirically. This research finds that structural changes in the prices and price relationships are policy-driven.

Suggested Citation

  • DeGorter, Harry & Just, David & Mugera, Harriet Kasidi, 2013. "Structural Changes in Commodity Prices: The Role of Policies," 53rd Annual Conference, Berlin, Germany, September 25-27, 2013 156255, German Association of Agricultural Economists (GEWISOLA).
    • Handle: RePEc:ags:gewi13:156255
    DOI: 10.22004/ag.econ.156255
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/156255/files/Poster3-DeGorter-Structural_c.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.156255?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Jushan Bai & Pierre Perron, 1998. "Estimating and Testing Linear Models with Multiple Structural Changes," Econometrica, Econometric Society, vol. 66(1), pages 47-78, January.
    2. Harry de Gorter & David R. Just, 2008. "The Economics of a Blend Mandate for Biofuels," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 91(3), pages 738-750.
    3. Walter Enders & Matthew T. Holt, 2012. "Sharp Breaks or Smooth Shifts? an Investigation of the Evolution of Primary Commodity Prices," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 94(3), pages 659-673.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Christopher L. Gilbert & Harriet Kasidi Mugera, 2020. "Competitive Storage, Biofuels and the Corn Price," Journal of Agricultural Economics, Wiley Blackwell, vol. 71(2), pages 384-411, June.
    2. Mugera, Harriet & Gilbert, Christopher, 2015. "Structural Change in the Relationship Between Energy and Food Prices," 2015 Conference, August 9-14, 2015, Milan, Italy 212505, International Association of Agricultural Economists.
    3. Hatzenbuehler, Patrick L. & Abbott, Philip C. & Foster, Kenneth A., 2016. "Agricultural Commodity Prices and Exchange Rates under Structural Change," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 41(2), May.
    4. Kaila, Heidi & Singhal, Saurabh & Tuteja, Divya, 2020. "Development programs, security, and violence reduction: Evidence from an insurgency in India," World Development, Elsevier, vol. 130(C).
    5. Luo, Shikong & Yan, Xinyan & Yang, Haoyi, 2021. "Let’s take a smooth break: Stock return predictability revisited," International Review of Economics & Finance, Elsevier, vol. 75(C), pages 300-314.
    6. Han, Xue & Philip, Garcia, 2016. "GMO Contamination Price Effects in the U.S. Corn Market: StarLink and MIR162," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 236004, Agricultural and Applied Economics Association.
    7. Cró, Susana & Martins, António Miguel, 2017. "Structural breaks in international tourism demand: Are they caused by crises or disasters?," Tourism Management, Elsevier, vol. 63(C), pages 3-9.
    8. Teterin, Pavel & Brooks, Robert & Enders, Walter, 2016. "Smooth volatility shifts and spillovers in U.S. crude oil and corn futures markets," Journal of Empirical Finance, Elsevier, vol. 38(PA), pages 22-36.
    9. Ozcan, Burcu & Ozturk, Ilhan, 2016. "A new approach to energy consumption per capita stationarity: Evidence from OECD countries," Renewable and Sustainable Energy Reviews, Elsevier, vol. 65(C), pages 332-344.
    10. Jing-Ping Li & Omid Ranjbar & Tsangyao Chang, 2017. "Unemployment Hysteresis In Piigs Countries: A New Test With Both Sharp And Smooth Breaks," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 62(05), pages 1165-1177, December.
    11. Mohsen Bahmani-Oskooee & Tsangyao Chang & Tsungpao Wu, 2014. "Revisiting purchasing power parity in African countries: panel stationary test with sharp and smooth breaks," Applied Financial Economics, Taylor & Francis Journals, vol. 24(22), pages 1429-1438, November.
    12. Mohsen Bahmani-Oskooee & Tsangyao Chang & Tsung-Pao Wu, 2015. "Purchasing Power Parity in Transition Countries: Panel Stationary Test with Smooth and Sharp Breaks," IJFS, MDPI, vol. 3(2), pages 1-9, May.
    13. Walter Enders & Matthew T. Holt, 2014. "The Evolving Relationships between Agricultural and Energy Commodity Prices: A Shifting-Mean Vector Autoregressive Analysis," NBER Chapters, in: The Economics of Food Price Volatility, pages 135-187, National Bureau of Economic Research, Inc.
    14. Zhang, Yue-Jun & Zhang, Han, 2023. "Volatility forecasting of crude oil futures market: Which structural change-based HAR models have better performance?," International Review of Financial Analysis, Elsevier, vol. 85(C).
    15. Philip Abbott, 2014. "Biofuels, Binding Constraints, and Agricultural Commodity Price Volatility," NBER Chapters, in: The Economics of Food Price Volatility, pages 91-131, National Bureau of Economic Research, Inc.
    16. Wang, Yuan & Shi, Rui & Zhang, Chen & He, Yanmin & Jiang, Hongyi & Kubota, Jumpei, 2022. "Structural changes and trends in China's renewable electricity production in the policy evolution process," Renewable Energy, Elsevier, vol. 182(C), pages 879-886.
    17. Akosah, Nana Kwame & Alagidede, Imhotep Paul & Schaling, Eric, 2020. "Testing for asymmetry in monetary policy rule for small-open developing economies: Multiscale Bayesian quantile evidence from Ghana," The Journal of Economic Asymmetries, Elsevier, vol. 22(C).
    18. Ferreira, Pedro Cavalcanti & Galvao Jr., Antonio F. & Gomes, Fabio Augusto Reis & Pessoa, Samuel de Abreu, 2010. "The effects of external and internal shocks on total factor productivity," The Quarterly Review of Economics and Finance, Elsevier, vol. 50(3), pages 298-309, August.
    19. Kelly Burns & Imad Moosa, 2017. "Demystifying the Meese–Rogoff puzzle: structural breaks or measures of forecasting accuracy?," Applied Economics, Taylor & Francis Journals, vol. 49(48), pages 4897-4910, October.
    20. Matteo Mogliani, 2010. "Residual-based tests for cointegration and multiple deterministic structural breaks: A Monte Carlo study," Working Papers halshs-00564897, HAL.

    More about this item

    Keywords

    Agricultural and Food Policy;

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:gewi13:156255. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/gewisea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.