Publication detail

Kristoufek, L. & Janda, K. & Zilberman, D.: Correlations between biofuels and related commodities: A taxonomy perspective

Author(s): prof. Ing. Karel Janda M.A., Dr., Ph.D., David Zilberman
prof. PhDr. Ladislav Krištoufek Ph.D., David Zilberman
Type: IES Working Papers
Year: 2012
Number: 15
Published in: IES Working Papers 15/2012
Publishing place: Prague
Keywords: biofuels, networks, minimal spanning tree, hierarchical tree
JEL codes: C38, Q16, Q42
Suggested Citation: Kristoufek, L., Janda, K., Zilberman, D. (2012). “Correlations between biofuels and related commodities: A taxonomy perspective” IES Working Paper 15/2012. IES FSV. Charles University.
Grants: 402/09/0965: New Approaches for monitoring and prediction of capital markets 402/09/H045 - Nelineární dynamika v peněžní ekonomii a financích. Teorie a empirické modely
Abstract: In this paper, we analyze the relationships between the prices of biodiesel, ethanol and related fuels and agricultural commodities with a use of minimal spanning trees and hierarchical trees. We find that in short-term, both ethanol and biodiesel are very weakly connected with the other commodities. In medium-term, the biofuels network becomes more structured. The system splits into two well separated branches -- a fuels part and a food part. Biodiesel tends to the fuels branch and ethanol to the food branch. When the periods before and after the food crisis of 2007/2008 are compared, the connections are much stronger for the post-crisis period. This is the first application of this methodology on the biofuels systems.
Downloadable: WP 2012_15_Kristoufek et al




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