Baffes, John; Gohou, Gaston - 2005
This paper examines the price linkages among polyester (the dominant chemical fiber), cotton (the dominant natural …; (ii) crude oil prices have a stronger effect on polyester prices compared to cotton prices; (iii) price shocks originating … incorporates several aspects of the unit root econometrics literature. We find that (i) there is strong co-movement between cotton …