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Financialization Of The Commodities Futures Markets And Its Effects On Prices, Manisha Pradhananga
Financialization Of The Commodities Futures Markets And Its Effects On Prices, Manisha Pradhananga
Doctoral Dissertations
After declining for almost three decades, the food price index of the Food and Agricultural Organization (FAO) rose by 90 percent between January 2002 and June 2008. Besides the magnitude, the rise in prices was remarkable for its breadth, affecting a broad range of commodities including agricultural (wheat, corn, soybeans, cocoa, coffee), energy (crude oil, gasoline), and metals (copper, aluminum). According to the US Department of Agriculture, this price spike was responsible for increasing the number of malnourished people by 80 million. These dramatic developments in prices coincided with a rapid inflow of investment into the commodities futures market -- …