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Optimal Hedging Horizon for a Hog Feeding Spread (Crush) Margin

Citation

Cook, Joseph. (2017). Optimal Hedging Horizon for a Hog Feeding Spread (Crush) Margin. Theses and Dissertations Collection, University of Idaho Library Digital Collections. https://www.lib.uidaho.edu/digital/etd/items/cook_idaho_0089n_11171.html

Title:
Optimal Hedging Horizon for a Hog Feeding Spread (Crush) Margin
Author:
Cook, Joseph
Date:
2017
Keywords:
Hedging Horizon
Program:
Agricultural Economics and Rural Sociology (Applied Economics)
Subject Category:
Economics
Abstract:

Abstract

The goals of this thesis are to a) develop a graphical and mathematical analysis of an optimal hedging horizon for lean hog feeding spread, b) develop a mathematical model depicting an ideal hedging horizon for a lean hog feeding spread, and c) derive implications of the model for improving lean hog spread hedging effectiveness.

Chapter one encompasses previous research and a thesis overview.

Chapter two creates the framework for creating a lean hog input spread and examines optimal horizons for each input.

Chapter three utilizes the framework in chapter two and develops an extensive model that compares the hedging effectiveness of different horizon lengths.

Chapter four analyzes possible implications of the model on hedging effectiveness following a shock to hedging inputs.

Chapter five summarizes the results and discusses the implications of the model on hedging effectiveness.

Description:
masters, M.S., Agricultural Economics and Rural Sociology (Applied Economics) -- University of Idaho - College of Graduate Studies, 2017
Major Professor:
Vorotnikova, Ekaterina
Committee:
Bozic, Marin; Devadoss, Stephen
Defense Date:
2017
Identifier:
Cook_idaho_0089N_11171
Type:
Text
Format Original:
PDF
Format:
application/pdf

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