Experimental markets were used to isolate the effects of market structure and contract design on market outcomes. Preliminary results suggest that market structure drives outcomes, and not necessarily contract design. Future research will replicate experiments and add dimensions of market...

Recent spikes in commodity prices have led to higher margin amounts and option premiums. For the most part, producers have always attributed their lack of use in reducing risk via futures and options markets to the high cost associated with the use of these markets. This study determines the...