An Examination of Factors Influencing Fertilizer Price Adjustment

Craig Galbraith

No 61646, 2010 Annual Meeting, July 25-27, 2010, Denver, Colorado from Agricultural and Applied Economics Association

Abstract: This paper utilizes an error correction model to examine how anhydrous ammonia (AA) and urea prices at different locations in North America adjusted to changes in crop and input prices during two time periods: 2002 to 2005 and 2006 to 2009. The empirical results suggest that natural gas futures prices had relatively more of an impact on nitrogen fertilizer prices during the 2002-2005 period. Nitrogen prices tended to adjust more rapidly to increases in natural gas futures prices than decreases. In the 2006 to 2009 period, corn futures prices had more of an impact on nitrogen prices. Nitrogen prices tended to respond immediately to decreases in corn futures prices. The nitrogen price responses to increasing corn futures prices were mixed.

Keywords: Crop Production/Industries; Demand and Price Analysis (search for similar items in EconPapers)
Pages: 20
Date: 2010
References: Add references at CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
https://ageconsearch.umn.edu/record/61646/files/Se ... 202010%20Meeting.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ags:aaea10:61646

DOI: 10.22004/ag.econ.61646

Access Statistics for this paper

More papers in 2010 Annual Meeting, July 25-27, 2010, Denver, Colorado from Agricultural and Applied Economics Association Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().