Intertemporal Price Relationships of Storable and Nonstorable Commodities: Theory and Application

Major disagreements remain unresolved with the theories of Keynes and Working regarding intertemporal price relationships, hence better explanation is needed. Keynes' theory of normal backwardation suggests that a risk premium, which a hedger pays to transfer risk, exists in futures markets. However, Working's theory of price of storage suggests that hedgers participate in the futures market in pursuit of profit and the arbitrage possibilities eliminate any bias in the futures price.

Name thesis:degree_name

Ph.D.

Level thesis:degree_level

Dissertation

Discipline thesis:degree_discipline

Agricultural Economics

Grantor

University of Illinois at Urbana-Champaign

Year dc:date

2014

Author dc:creator

• Naik, Gopal

Contributors dc:contributor

• Leuthold, Raymond M.

• Economics, Agricultural

Identifier

(UMI)AAI8823210

OAI identifier oai:identifier

oai:www.ideals.illinois.edu:2142/69888