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Relationship among Energy, Bioenergy and Agricultural Commodity Prices: Re-Considering Structural Changes

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  • Nemati, Mehdi
Abstract
This study investigates the relationships among the prices of gasoline, ethanol, and agricultural products that include soybeans and corn. By increasing production of ethanol using corn, concerns about emerging new relationship between agricultural products price and energy price increased. The result indicates that, without considering structural breaks, there is no long-run relationship between energy and agricultural products prices. However, after consideration of structural breaks not only, long-run relationship between energy and agricultural products exist, but also this relationship intensified during last decade. Also, energy price can be transmitted to agricultural products prices from the indirect and direct channel.

Suggested Citation

  • Nemati, Mehdi, 2017. "Relationship among Energy, Bioenergy and Agricultural Commodity Prices: Re-Considering Structural Changes," International Journal of Food and Agricultural Economics (IJFAEC), Alanya Alaaddin Keykubat University, Department of Economics and Finance, vol. 5(3), July.
    • Handle: RePEc:ags:ijfaec:266426
    DOI: 10.22004/ag.econ.266426
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    References listed on IDEAS

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    Cited by:

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    3. Jin Zhang & Zhenqing Lin & Jinkai Li, 2024. "Analyzing the risk spillovers of international crude oil on China's corn and biofuel ethanol markets: A transition toward green economy and environmental sustainability," Energy & Environment, , vol. 35(3), pages 1216-1234, May.
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    5. Umar, Zaghum & Jareño, Francisco & Escribano, Ana, 2021. "Agricultural commodity markets and oil prices: An analysis of the dynamic return and volatility connectedness," Resources Policy, Elsevier, vol. 73(C).

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