Corn Market Research Articles

Les vues de Boisguilbert sur les marchés

In his works, Boisguilbert develops différents views on markets according to the nature of the social link. On the one hand, our study of Boisguilbert's texts has shown a nearly modern model of markets. In this model, markets regulate the connection between the crafts through a metaphysical equilibrium. On the other hand, we have brought up to date a second model of markets, which is valid to the developed state. Within this classical model, the market for corn regulates, by a collective logic, the connection between the classes which constitute the opulent society.

THE CORN MARKET AND ECONOMIC CHANGE: OXFORD IN THE EIGHTEENTH CENTURY

AbstractThe aim of this paper is to examine changes within an individual corn market, Oxford, against the background of national developments in the marketing of corn. Three essential threads will be discussed. The first is the role of local traditions in shaping and sometimes restraining the response of a given locality to the developing national free market for corn. The second is the widespread organizational and structural change in the market which enabled advantage to be taken of the new and more sophisticated marketing options. The third is the role of regulation in helping to maintain a local marketing ideal in periods of dearth. Regulation will be seen to have given expression to anxieties within the community that being part of a wider national market was not always in their best interest. Here Oxford needs to be viewed as a consumption centre within an essentially rural, agricultural county. The field is therefore widened to show Oxford within its county as well as within the country.

An econometric analysis of the forward premium in the international corn market

This study investigates the linkage between world macroeconomic factors and prices of an internationally traded commodity by explicitly accounting for the role of futures markets in stockholding behavior. Using a portfolio model, the empirical analysis is carried out with quarterly data of a storable, international traded commodity--corn--for the 1973I-1983IV period. The empirical findings show that a substantial variation in the corn forward premium can be explained by current and expected future values of macroeconomic variables, such as industrial production, interest rates, and exchange rates. Copyright 1990 by Oxford University Press.

Bounded price variation models with rational expectations and price risk

The bounded price variation model under rational expectations is extended to include higher moments of price in the supply equation. The resulting framework is then used to estimate a disequilibrium model of the U.S. corn market that includes price risk.

Bounded Price Variation and Rational Expectations in Endogenous Switching Model of the U.S. Corn Market

A model that includes bounded price variation and rational expectations by producers is estimated for the U.S. corn market. The resulting model specification is highly nonlinear though, since the probability of market equilibrium must be determined endogenously. Unlike previous research, the cross-equation restrictions implied by the rational expectations hypothesis are incorporated in the bounded prices model by using Fair and Taylor's (1983) procedure for obtaining maximum likelihood estimates of nonlinear rational expectations models. The resulting model is compared against a standard equilibrium model with naive expectations. The results show the bounded prices model is a superior specification. Copyright 1989 by MIT Press.

Perfectly Flexible Pricing in a Homogeneous Market

So as to present our reappraisal of the implications of perfect price flexibility in the simplest possible framework, we turn to Marshall's (1920, book V) corn market example, where stocks offered for sale already exist at the outset and where equilibrium is established solely through price adjustment.' In this context, Marshall simply took it for granted that the competitive price is the unique equilibrium price (op. cit., p. 278). Indeed, it is clear that if prices are set by the sellers, and no seller can change a quoted price, then a uniform price above the competitive

Impact of Energy Prices, Interest Rates, and Corn Prices on Profitability of Operating On-Farm Corn Drying Systems

ABSTRACT PROFITABILITY of investment on four on-farm dry-ing systems was evaluated using a capital budgeting model to determine the net present value (NPV) of the investment. Sensitivity analysis was conducted to analyze the robustness of NPV as an investment decision criterion by assuming various scenarios for farm sizes, energy prices, interest rates, market conditions, and financing sources. Similar analysis was also conducted for after-tax incremental cash flow (AICF) to the farmer from artificial drying operation compared to partial field drying. In developing the model, energy use for grain drying, corn market conditions, inflation rate etc. were considered as stochastic to account for the uncertain weather and economic conditions over the ten year analysis period by Monte Carlo technique. Decline in energy prices and interest rates and increase in corn prices increase the profitability of investing and operating on-farm drying systems. However, the resulting increase in profitability is insufficient to justify capital outlays on new investments.

North-South interaction and commod control

A simple model of North-South interaction is presented with a Keynesian North producing industrial goods and a Classical South producing corn. If the terms of trade clear the corn market then commodity price stabilisation can only slightly increase the average value of Northern real consumption. But if there is real wage resistance in the North then output deflation in the North is necessary to avoid inflationary pressure whenever the terms of trade tend to turn against the North; commodity price stabilisation could, in such circumstances, greatly improve Northern welfare. The paper also examines whether fiscal policy in the North, instead of commodity price stabilisation, could provide equally large improvements in Northern welfare.

Modeling Expectations of Bounded Prices: An Application to the Market for Corn

The presence of farm programs should directly affect the expectations of producers. This paper analyzes the formation of price expectations when price supports constitute an effective lower bound on the distribution of the expectations. We first investigate what the expected price would be if the usual rational expectations formula is used. This leads to a relationship that is not estimable. We suggest two alternatives -one based on a tobit approximation and the other based on a perfect prediction of when the support is going to be effective. Using a simplified model of the U.S. corn market, the methodology is demonstrated and compared to an alternative method of using futures prices as the expectation of harvest price. The analysis of supply response for the major U.S. field crops is made difficult due to government intervention in these markets. This intervention has been characterized by the use of price supports, acreage diversion, storage incentives, etc. during the last thirty years. Many studies have analyzed producer behavior in the presence of governmental involvement. Such studies have typically been concerned with modeling the effect of supports and diversions in an ex post sense rather than with how producers used the knowledge of farm programs to form their expectations. If producers are rational economic agents, their expectations of harvest prices should be conditioned both by free market forces and the type and degree of governmental intervention in the market. Of course, farm programs have varied in nature and extent during the past thirty years and it is doubtful that any structural model could capture their complexities. In this paper we attempt to introduce rational expectations in a simplified model of the U.S. corn market. In essence we focus on the formation of price expectations when price supports constitute an effective lower bound on the distribution of the expectations. We proceed by developing a theoretical model that connects the rational expectations model with a model of bounded price variation. It is shown that one representation that may characterize the corn market is a triangular structural system with endogenous switching. A full information maximum likelihood estimator is proposed for the system. Next an empirical model is specified and estimated. The model is evaluated in comparison to an augmented model that contains a futures price so that some inferences may be made concerning the rational expectations model's success in summarizing relevant market information. Expectations Under Bounded Prices Consider a market that may be represented by a simple supply and demand system Q= a,Pt* + a2W, + el, Supply Function Pt= b,Qt + b2Xt + e2t Demand Function (1) where P and Q represent market price and quantity, W and X represent supply and demand shifters, and P,* represents the rational expectation of product price at the time production decisions are made. Note that this system has a familiar recursive structure when the expected price variable is specified in terms of one or more lagged prices. When the restricted reduced form of the structural system is solved for in terms of the expected price and this expression is used to replace Pj* (Wallis (1980)) then models similar to those of Goodwin and Sheifrin (1982) and Shonkwiler and Emerson (1982)

The Relative Contribution of Supply and Demand to Instability in the U.S. Corn Market

The Relative Contribution of Supply and Demand to Instability in the U.S. Corn Market

Dynamic Games and International Trade: An Application to the World Corn Market

AbstractDynamic games are a conceptually useful way of analyzing imperfect markets where both buyers and sellers have potential market power. Previous analysis of imperfect markets was static and limited to either exporters or importers. A dynamic game allows the inclusion of both importers and exporters in a multiperiod framework allowing the derivation of reaction functions. A Nash noncooperative difference game is applied to the international corn market to explore the plausibility of numerical results. The results are reasonable and show that the game approach based on a more comprehensive econometric model has a promising future in policy analysis.

Paris en 1778 : l'architecture en question

Daniel Rabreau & Monique Mosser : Paris in 1778 : architecture. 1978 is also the anniversary of the death of Piranese, whose influence on French architects of the second half of the 18th Century was consi¬derable. Voltaire left Paris' as the monarchy decided the construction of two monumental projects : the Place Louis XV and the Ecole Militaire. In the following years, despite the lack of an urban plan, young architects produced a series of modern public buildings : the Corn Market, the Mint, Saint Philippe du Rouie, the Surgery School, the Vauxhiall. In 1778, on balance, we see that urbanism was subjected to speculation and the greed of shareholders. But finally, with the comte d'Angiviller, an era of reforming projects seems to be beginning, and in 1778 the new plan for the construction of the Odeon was accepted.

"Public Land Banking and the Price of Land": Reply

With respect to effect of on equilibrium price of land, Pasour claims that our analysis is contrary to conventional wisdom and his (presumably) is not. However, there is really no essential disagreement between us, just a difference in emphasis. Pasour argues that the main effect of speculative activity is on price variation and not on price level, and that speculation serves to allocate good between different uses over time. We have no disagreement with this conclusion. In fact our paper concludes that under our assumption that speculator inventories are zero at beginning and end of cycle' and that nonspeculator actions are independent of speculators' actions,2speculation has no effect on long-run or equilibrium price of [Carr and Smith 1975, p. 322]. In addition, we also believe that speculators perform a valuable service. They add value to good just as a manufacturer adds value to raw materials he uses to produce a finished product. A speculator transfers a good from a time of relative cheapness and plenty to a time of relative dearness and scarcity, and also reduces transaction costs associated with a trade. Since Pasour's disagreement with us does not lie in general conclusion that cannot affect equilibrium price of land, it must lie in our qualifications to this general proposition.3 In analyzing Pasour considers classic case of in corn market. However, in market is more complicated since there is a stock-flow problem in determination of prices. If activities of speculators affect reservation price of existing landholders, then may have a long-run effect on values. Also, given inherent lags in any stock-flow model, equilibrium may take a very long time to achieve. Hence, speculators may hold positive speculative balances for a long period of time, and thus temporary effects of may be quite longlived. It is to these phenomena that we refer when we consider possibility that land banks could reduce

COMPOSITION OF CORN OIL.

AbstractThe composition of commercial corn oil from USA corn is remarkably constant. A total of 103 samples of refined corn oil produced over a period of 2.5 years were analyzed by the alkali isomerization procedure. Nearly 86% of the samples had an iodine value (I.V.) within one unit of the average value, 123.6. Linoleic content on a fatty acid basis, averaged 55.5%; 93% of the values were within two units of this value. All samples contained small amts of linolenic acid. This uniformity undoubtedly results from the system of corn marketing and buying which brings grain from the entire corn belt to the processing plants.A number of corn oils were analyzed by GLC. The average linoleic acid content by this method was ca. 2.5 units higher than that found by the isomerization method. This difference may occur because GLC responds to all C‐18 dienes equally while the alkali isomerization method responds only to conjugatable dienes. Possible sources of error in both methods of fatty acid analysis are discussed.Corn oil samples taken over a 16‐month period were analyzed by GLC.Although much of our experience has been with the alkali isomerization method, the GLC technique is preferred because it is simpler and yields more information on fatty acid composition. Another important advantage is that determination of the I.V. of the oil serves as a check on GLC results. The I.V. calculated from the GLC results, making allowance for 1.25% unsaponifiables in the case of corn oil, should be within a few units of the Wijs value.Oils derived commercially from corns grown in other countries are generally more saturated than those from USA corn. The I.V. of the samples examined varied from 107舑125, the linoleic acid contents from 42舑56%. The relationship between I.V. and linoleic acid content established by others from hybrid corns holds fairly well for these samples.

The Effect of Particle Size of the Active Ingredient in DDT Dust on Corn Earworm Control

DDT, in dust formulations or as an emulsifiable concentrate alone and combined with mineral oil, has become the standard insecticide against the corn earworm, Heliothis armigera (Hbn.), on sweet corn. The fresh corn market demands a fancy, undipped, worm-free product. In areas where sweet corn is grown principally for the fresh market and where earworm populations are usually very high during the latter part of the growing season, DDT has not been entirely satisfactory as a control measure, either in dust or liquid form.

Bristol—Metropolis of the West in the Eighteenth CenturyThe Alexander Prize Essay

Althought anticipated by earlier writers, the clearest formulation of the idea of a metropolis as the focus of economic activity is to be found in Professor N. S. B. Gras' The Evolution of the English Corn Market. There he writes:The metropolitan market may be described as a large district having one center in which is focussed a considerable trade. Trade between outlying parts of course may take place, but it is that between the metropolitan town and the rest of the area that dominates all. This is chiefly the exchange of the raw pro-ducts of the country for the manufactured or imported goods of the town. The prices of all goods sent to the metropolitan center are ‘made’ there, or, in other words, prices diminish as the distance from the center is increased.

“The Evolution of The English Corn Market”

The purpose of this note is to examine the method by which N. S. B. Gras establishes his thesis concerning the evolution of the English grain markets. According to his book, grain, markets evolved through several distinct stages, culminating in the “metropolitan market.” Although the influence of the London market by the sixteenth century can be demonstrated without reference to the existence of the early stages, it is nevertheless they that constitute the essential novelty of Mr. Gras's approach and, presumably, the main contribution of the book to the study of economic history. It will be contended below that the existence of certain of these early stages is at least doubtful and that, in any case, their economic significance is either negligible or not provable.

Robert Browne, Independent

Although the exact date is not known, Robert Browne was born about the year 1550 at Tolethorpe Hall, which is the Manor House of Little Casterfon, a Rutlandshire village a few miles from Stamford. The house appears to have been owned by the Browne family since 1377, when it was bought by John Browne, alderman of Stamford (1374–6, -7) and “wool-merchant engaged in the staple of Calais.” A son of this original owner was named John, and also served as alderman. So, in turn, did his son John, who held he office three times. This third John Browne began the much needed work of restoring All Saints Church in Stamford, a fine building of Norman type which had suffered severe damage in the War of the Roses. The restoration was carried on and completed by his two sons, John and William, who also continued the family tradition of public service: John was alderman of Stamford in 1448, 1453, 1462; William was several times alderman as well as sheriff of Rutland and Lincoln counties, and founder in 1484 of Browne Hospital, the Bede House of Stamford, which still stands opposite the Corn Market.

The Evolution of the English Corn Market from the Twelfth to the Eighteenth Century.

The Evolution of the English Corn Market from the Twelfth to the Eighteenth Century.

The Evolution of the English Corn Market: From the Twelfth to the Eighteenth Century

The Evolution of the English Corn Market: From the Twelfth to the Eighteenth Century