Predicting the Corn Basis in the Texas Triangle Area
AbstractThis study develops a new and straightforward economic model of basis forecasting that outperforms the simple three-year average method suggested in much of the literature. We use monthly data of the corn basis in the Texas Triangle Area from February 1997 to July 2008. The results and the graphs indicate that the new model based on economic fundamentals performs better than basis estimates using a three-year moving average.
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Bibliographic InfoPaper provided by Southern Agricultural Economics Association in its series 2009 Annual Meeting, January 31-February 3, 2009, Atlanta, Georgia with number 46759.
Date of creation: 15 Jan 2009
Date of revision:
Hedging; basis; corn; Agribusiness; Agricultural Finance; Financial Economics; Marketing; Risk and Uncertainty;
Other versions of this item:
- Welch, J. Mark & Mkrtchyan, Vardan & Power, Gabriel J., 2009. "Predicting the Corn Basis in the Texas Triangle Area," Journal of Agribusiness, Agricultural Economics Association of Georgia, vol. 27.
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