Premium
Nonlinearities in the U.S. corn‐ethanol‐oil‐gasoline price system
Author(s) -
Serra Teresa,
Zilberman David,
Gil José M.,
Goodwin Barry K.
Publication year - 2011
Publication title -
agricultural economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.29
H-Index - 82
eISSN - 1574-0862
pISSN - 0169-5150
DOI - 10.1111/j.1574-0862.2010.00464.x
Subject(s) - gasoline , economics , error correction model , ethanol , corn oil , agricultural economics , ethanol fuel , econometrics , crude oil , biofuel , chemistry , food science , microbiology and biotechnology , cointegration , biology , organic chemistry , petroleum engineering , engineering
We use a smooth transition vector error correction model to assess price relationships within the U.S. ethanol industry. Monthly ethanol, corn, oil, and gasoline prices from 1990 to 2008 are used in the analysis. Results indicate the existence of long‐run relationships among the prices analyzed. Strong links between energy and food prices are identified.