An Empirical Study on the Relationship between the Price of Maize and Wheat

Lang Wang and Puming He

Asian Agricultural Research, 2018, vol. 10, issue 07

Abstract: In recent years, the constant increase in the purchase price of maize has caused maize to squeeze wheat planting area, affecting the wheat supply and price in the market, and posing a threat to the safety of wheat rations. In order to further study the price fluctuations between maize and wheat, based on the quarterly data of the 2007-2017 maize and wheat production price index, this paper established a VAR model and found that there is a long-term equilibrium relationship between the price of maize and wheat, and maize price fluctuation was the Granger cause of wheat price fluctuation, wheat price fluctuation was not the Granger cause of maize price fluctuation. Based on the above conclusions, it came up with recommendations for the optimization of grain planting structure, and protection of food security is of great significance.

Keywords: Agribusiness (search for similar items in EconPapers)
Date: 2018
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Persistent link: https://EconPapers.repec.org/RePEc:ags:asagre:281251

DOI: 10.22004/ag.econ.281251

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