Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/72988
Authors: 
Bastianin, Andrea
Galeotti, Marzio
Manera, Matteo
Year of Publication: 
2013
Series/Report no.: 
Nota di Lavoro, Fondazione Eni Enrico Mattei 22.2013
Abstract: 
We analyze the relationship between the prices of ethanol, agricultural commodities and livestock in Nebraska, the U.S. second largest ethanol producer. The paper focuses on long-run relations and Granger causality linkages between ethanol and the other commodities. The analysis takes possible structural breaks into account and uses a set of techniques that allow to draw inferences about the existence of long-run relations and of short-run in-sample Granger causality and out-of-sample predictive ability. Even after taking breaks into account, evidence that the price of ethanol drives the price dynamics of the other commodities is extremely weak. It is concluded that, on the basis of a formal, comprehensive and rigorous causality analysis we do not find evidence in favour of the Food versus Fuel debate.
Subjects: 
Ethanol
Field Crops
Granger Causality
Forecasting
Structural Breaks
JEL: 
C22
C53
Q13
Q42
Q47
Document Type: 
Working Paper

Files in This Item:
File
Size
798.16 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.