Commodity prices have increased sharply during the past fi ve years, which has provided a signifi cant boost to Australia’s terms of trade. This article places the recent commodity price boom in an historical context, drawing on an analysis of very long-run price series, and documents some unique features of the current price cycle. The article shows that over an extended period, at least until...

This paper investigated the reaction of aggregate commodity market to oil price shocks and also explored the effects of oil price shocks on China's fundamental industries: metals, petrochemicals, grains and oilfats. We separated the volatilities of oil price into expected, unexpected and negatively expected categories to identify how oil prices influence bulk commodity markets. We contrasted th...

Pricing and estimation issues of exponential aÆne stochastic volatility models are discussed. One speci c model is estimated with Chicago Board of Trade futures price data, where the instantaneous mean and volatility of commodity spot price are allowed to be time varying. Model performance is evaluated based on its t to the futures price term structure and the model implied state variable behav...

interest as investment opportunity cost or in other words cost of obtaining the credit requirement in the production process, have a key role in the good's cost price and hence it's necessary to control this kind of variables that have harmful effects on the interest rate's trends. among this, the unexpected changes in some variables that can have destructive effects on interest ...

The paper explores the linkage between equity and commodity markets, focusing in particular on its evolution over time. It documents that a country’s equity market value has significant out-of-sample predictive ability for the future global commodity price index for several primary commodity-exporting countries. The out-of-sample predictive ability of the equity market appears around 2000s. The...

In this paper we prove a new result in graph theory that was motivated by considerations in mathematical economics; more precisely by the problem of price formation in an exchange economy [3]. The aggregate demand/supply in the economy is described by an n × n matrix A = (aij) where aij is the amount of commodity j that is on offer for commodity i. In this context one defines a market-clearing ...

By incorporating human capital accumulation into a dynamic trade model, we examine the relationship between the growth rate and the specialization pattern of a growing economy. We found that as long as its autarky price differs from the world price, a small open-economy eventually specializes completely. Furthermore, the impact of the terms of trade on the growth rate depends on the trade patte...

Annually between 1994 and 1998 over 400,000 acres of grain sorghum have been harvested in Missouri with an average yield of 86/bushels/acre. The average value of production during this period was over $90 million. Grain sorghum (milo) is an important crop for some Missouri producers. Many sorghum producers also produce corn, soybean, or wheat. Each of these commodities has an actively traded fu...

This paper offers an alternative to the conventional explanation of the 2007-08 food price crisis in terms of escalating demand or dwindling supply. Instead, its focus is on the legalinstitutional structure of commodity futures markets, which has witnessed a drastic alteration in the role of speculators. These have transformed from “market makers” (that keep commodity futures markets liquid by ...