Examining the Long Term Relationship Between Crude Oil and Food Commodity Prices: Co-integration and Causality

dc.contributor.author Ibrahim Awad
dc.contributor.author Ghaith, Ziad
dc.date.accessioned 2018-09-04T11:33:08Z
dc.date.available 2018-09-04T11:33:08Z
dc.date.issued 2011-08-15
dc.description.abstract Recently a new debate has started regarding food and energy issues because food has become an alternative source of energy and energy becoming the main input of agriculture. However, this study attempts to investigate the possible long-term relationship between the prices of crude oil and food commodities represented by maize, wheat, sorghum, soybean, barley, linseed oil, soybean oil, and palm oil. Time series econometric techniques (Unit root tests, Co-integration, and Granger causality) were applied. The study utilizes monthly data over the period of 1980 to 2009. The results of this study reveal that there is a strong evidence of long-term relationship between crude oil and the food commodities prices. A traditional Granger Causality is used to check whether causality exists between two product prices. The outcome suggests that there is unidirectional causality between the prices crude oil and some of the food commodities under examination. en_US
dc.identifier.issn 2162-6359
dc.identifier.uri https://dspace.alquds.edu/handle/20.500.12213/835
dc.language.iso en_US en_US
dc.publisher JEMS en_US
dc.subject Food commodities prices en_US
dc.subject Crude oil en_US
dc.subject Co-integration en_US
dc.subject Causality en_US
dc.title Examining the Long Term Relationship Between Crude Oil and Food Commodity Prices: Co-integration and Causality en_US
dc.type Article en_US
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