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Co-movements and causalities between ethanol production and corn prices in the USA: New evidence from wavelet transform analysis       
Yazarlar
Faik Bilgili
Erciyes Üniversitesi, Türkiye
Emrah Koçak
Erciyes Üniversitesi, Türkiye
Sevda Kuşkaya
Erciyes Üniversitesi, Türkiye
Prof. Dr. Ümit BULUT Prof. Dr. Ümit BULUT
Kırşehir Ahi Evran Üniversitesi, Türkiye
Özet
The literature has been increasingly examining the existence of possible compatibility or conflict hypotheses between biofuels and food security in recent years. While current research outputs do not provide a consensus, the new evidence can guide sustainable development policies. In this context, this paper investigates the co-movements between fuel ethanol production and corn prices for the US employing oil production, population, and real exchange rate control variables via the Morlet wavelet analysis from 1990:m1 to 2021:m4. The results of the analysis provide empirical evidence for the dynamics of the relationship between ethanol production and corn prices in the short and long term. However, the striking output of this paper is that increases in corn prices have followed increases in fuel ethanol production in the US markets since 2010. Especially in the long-term (from 2010:m3 to 2019:m12), the increase in ethanol production caused an increase in corn prices. From a sustainable development perspective, this paper points to the existence of a conflict between ethanol production and corn prices in the US over the past decade.
Anahtar Kelimeler
Biofuels | Compatibility | Conflict | Corn prices | Ethanol | Food security | Wavelet transform
Makale Türü Özgün Makale
Makale Alt Türü SSCI, AHCI, SCI, SCI-Exp dergilerinde yayımlanan tam makale
Dergi Adı ENERGY
Dergi ISSN 0360-5442
Dergi Tarandığı Indeksler SCI-Expanded
Dergi Grubu Q1
Makale Dili Türkçe
Basım Tarihi 11-2022
Cilt No 259
Sayı 1
Sayfalar 1 / 30
Doi Numarası 10.1016/j.energy.2022.124874
Makale Linki http://dx.doi.org/10.1016/j.energy.2022.124874