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Response of corn markets to climate volatility under alternative energy futures

Author

Listed:
  • Noah S. Diffenbaugh

    (Stanford University
    Purdue University
    Purdue Climate Change Research Center, Purdue University)

  • Thomas W. Hertel

    (Purdue Climate Change Research Center, Purdue University
    Purdue University)

  • Martin Scherer

    (Stanford University)

  • Monika Verma

    (Stanford University
    Purdue University)

Abstract

Several factors can either increase or buffer the effects of climate change on the volatility of grain prices. A study shows that US corn price volatility is more sensitive to near-term climate change than to energy policy or agriculture–energy market integration. A biofuels mandate increases price sensitivity to climate change by more than 50%.

Suggested Citation

  • Noah S. Diffenbaugh & Thomas W. Hertel & Martin Scherer & Monika Verma, 2012. "Response of corn markets to climate volatility under alternative energy futures," Nature Climate Change, Nature, vol. 2(7), pages 514-518, July.
    • Handle: RePEc:nat:natcli:v:2:y:2012:i:7:d:10.1038_nclimate1491
    DOI: 10.1038/nclimate1491
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    References listed on IDEAS

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