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The
disparity between massive volatility of
food prices and relatively slow changes
in agricultural supply and demand since
the beginning of the Food Crisis in 2007
has focused attention on the potential
effect of financial speculators in food
markets. Identifying the effect however
is a complicated challenge because of
number of factors, the key being the criteria
to define speculative activity. The author
provides a more targeted analysis of one
particular kind of speculator, and builds
on a combination of sociological and econometric
analysis to identify their presence in
commodity markets during the food crisis.
March
13, 2012.
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