| Abstract: | Summary This paper addresses the question of whether soybeans, soybean meal, and soybean oil produced in the United States and exported were part of a single, world geographic market during the decade of the 1980s. An answer to this question is sought using an approach to defining a geographic market based on the notion of instantaneous causality. The empirical results, based on prices for soybeans, soybean meal, and soybean oil for three spatially diffuse locations, suggest that there was but a single identifiable world market for these commodities over the period of study.The authors are with the Economic Research Service, U.S. Department of Agriculture, Washington D.C. The views expressed are those of the authors and do not necessarily represent the policies of the U.S. Department of Agriculture or the views of other U.S. Department of Agriculture staff members. Senior authorship is not assigned. The authors would like to thank an anonymous referee for helpful suggestions. |
