In this study stylized gasoline blender’s optimal hedging strategy in the presence of ethanol mandates is analyzed. In … incentives would affect blenders’ optimal hedging strategies. Multicommodity hedging method with Lower Partial Moments hedging …

Previous studies identify limited potential efficacy of weather derivatives in hedging agricultural exposures. In … temperature contracts that better weather hedging opportunities exist at higher levels of spatial aggregation. Aggregating …

to past experience. This may assist with making decisions about selective hedging. Likewise, historical evidence may be … useful in evaluating expected returns from the use of put options. Results from simple hedging strategies using either …

alternative to expected utility theory. Conventional theory posits that the optimal hedging position of a producer is not affected … producer is affected by changes in futures price levels. The implications of this price-induced hedging behavior on spot prices …

the wheat contracts on the Chicago and Kansas City exchanges. In Chicago, we find stable levels of incremental hedging …. Additionally, hedging participation has declined in recent years, coinciding with the commodity price boom. In the Kansas City … contracts, in contrast, hedging behavior increased with high futures prices and, surprisingly, with increased futures price …