EconPapers    
Economics at your fingertips  
 

Is Yield Endogenous to Price? An Empirical Evaluation of Inter- and Intra-Seasonal Corn Yield Response

Barry Goodwin (), Michele Marra, Nicholas Piggott and Steffen Mueller

No 124884, 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington from Agricultural and Applied Economics Association

Abstract: An extensive empirical literature has examined the behavior of crop yields over time. Corn yields have been characterized by signficant increases reflecting an array of technological developments that have substantially boosted productivity. While much of the focus has been on modeling deterministic and possibly stochastic trends in yields over time, an equally important question involves the extent to which yield changes may occur in response to price. This paper addresses two dimensions of this issue. We first look at the extent to which realized yields (i.e., at harvest) tend to be influenced by planting{time quotes of post{harvest futures contracts. Second, we examine the potential for intra{seasonal responsiveness of yields to significant price swings. The latter response is especially important in light of recent arguments that weather offers identification through instruments that are completely exogenous to market conditions; a view often expressed in terms of a "natural experiment." We challenge this argument by finding that the potential does exist for yields to be affected by significant price changes that occur early in the growing season.

Keywords: Crop; Production/Industries (search for similar items in EconPapers)
Pages: 25
Date: 2012-06-03
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5) Track citations by RSS feed

Downloads: (external link)
https://ageconsearch.umn.edu/record/124884/files/G ... _Piggott_Mueller.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:aaea12:124884

DOI: 10.22004/ag.econ.124884

Access Statistics for this paper

More papers in 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington from Agricultural and Applied Economics Association Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().

 
Page updated 2021-09-24
Handle: RePEc:ags:aaea12:124884