THE EFFECT OF CRUDE OIL PRICES FLUCTUATIONS ON THE AGRICULTURAL PRODUCERS` PERFORMANCE EFFICIENCY
DOI:
https://doi.org/10.5937/ekoPolj1803147IKeywords:
crude oil, prices, agricultural producers, VaR methodAbstract
Purpose. The development of agriculture and the security of food supply primarily on the domestic market represent the base of the economic development, and of economic and social stability of a country. Methodology. By using the VaR method, which is the best available risk-measuring technique, the crude oil price fluctuations will be followed in a designated period, in order to understand its influence on the creation of the business policy of agricultural producers. Results. A significant support for the development of agriculture is provided by the leading companies in the crude oil and oil derivatives industry. Conclusions. The aim of the current study is to comprehend the level of influence of crude oil prices as a global economic factor on the behavior of agricultural producers.
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2. Barjaktarević, L., Jeremić, Lj. (2013). Financial Crisis and Risk Management of Insurance and Banking. Economic Institute, Belgrade.
3. Bellemare, M.F. (2014). Rising food prices, food price volatility, and social unrest. American Journal of Agricultural Economics, 97 (1), 1–21.
4. Chatrath, A., Miao, H., Ramchander, S. (2014). Crude oil moments and PNG stock returns. Energy Economics, 44(7), 222-235.
5. Cvetinović M. (2008). Managing risks in financial operations, Singidunum University, Belgrade.
6. Damnjanović, R., Ivanov, N., Milenković, N. (2017). Mathematical modeling of the price of action. ODITOR, Centar za ekonomska i fnansijska istraživanja, 3(3), 13-33.
7. Dinică, M.C., Bale, E.C. (2014). International Crude oil Futures and Romanian Oil Companies: Volatility, Correlations and Causality. Procedia Economics and Finance, 15(4), 1396-1403.
8. Dowd, K. (2006). Retrospective Assessment of Value-at-Risk. Risk Management: A Modern Perspective. San Diego, Elsevier.
9. Du, X., Cindy, L.Y., Hayes, D.J. (2011). Speculation and volatility spillover in the crude oil and agricultural commodity markets: a Bayesian analysis. Energy Economics, 33(3), 497–503.
10. Grunert, K.G. (2005). Food quality and safety: consumer perception and demand. Eur. Rev. Agric. Econ, 32 (3), 369–391.
11. Ji, Q., Geng, J.B., Fan, Y. (2014). Separated influence of crude oil prices on regional natural gas import prices. Energy Policy, 70(7), 96-105.
12. Ignjatijević, S., Čavlin, M. (2017). Analysis of causes and consequences of corruption in the company. ODITOR, Centar za ekonomska i finansijska istraživanja, 3(3), 35-59.
13. IMF. (2016). Commodity market developments and forecasts, with a focus on special feature title: special feature head the energy transition in an era of low fossil fuel prices. World Econ. Outlook 2–14.
14. Kilian, L., Murphy, D.P. (2014). The role of inventories and speculative trading in the global market for crude oil. Journal of Applied Economics, 29 (3), 454–478.
15. Macrotrends, http://www.macrotrends.net/ 21. february 2018.
16. Mensi, W., Hammoudeh, S., Shahzad, S.J.H., Shahbaz, M. (2017). Modeling systemic risk and dependence structure between oil and stock markets using a variational mode decomposition-based copula method. Journal of Banking and Finance, 75(2), 258–279.
17. Nazlioglu, S., Erdem, C., Soytas, U. (2013). Volatility spillover between oil and agricultural commodity markets. Energy Economics, 36(5), 658–665.
18. Shahzad,S.JH., Hernandez, J.A., Al-Yahyaee, K.H., Jammazi, R. (2018). Asymmetric risk spillovers between oil and agricultural commodities, Energy Policy, 118(3), 182–198
19. Tong, B., Wu, C., Zhou, C. (2013). Modeling the co-movements between crude oil and refned petroleum markets. Energy Economics, 40(2), 882-897.
20. Vučković, B., Veselinović, B., Drobnjaković, M. (2017). Financing of permanent working capital in agriculture. Economics of Agriculture, 64(3), 1065-1080.
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Published
2018-09-23
How to Cite
Ivanova, B., Ivanov, I., & Dimitrijević, L. (2018). THE EFFECT OF CRUDE OIL PRICES FLUCTUATIONS ON THE AGRICULTURAL PRODUCERS` PERFORMANCE EFFICIENCY. Ekonomika Poljoprivrede, 65(3), 1147–1157. https://doi.org/10.5937/ekoPolj1803147I
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Review articles
