University of Wisconsin-Madison Department of Agricultural & Applied Economics March 2005 Staff Paper No. 469 Price Discovery in the World Sugar Futures and Cash Markets: Implications for the Dominican Republic By Hector Zapata T. Randall Fortenbery Delroy Armstrong __________________________________ AGRICULTURAL & APPLIED ECONOMICS ____________________________ STAFF PAPER SERIES Copyright © 2005 Hector Zapata, T. Randall Fortenbery and Delroy Armstrong. All rights reserved. Readers may make verbatim copies of this document for non-commercial purposes by any means, provided that this copyright notice appears on all such copies. Price Discovery in the World Sugar Futures and Cash Markets: Implications for the Dominican Republic by Hector O Zapata Department of Agricultural Economics & Agribusiness Louisiana State University Baton Rouge, Louisiana Phone: (225) 578-2766 Fax: (225) 578-2716 e-mail:
[email protected] T. Randall Fortenbery Department of Agricultural and Applied Economics University of Wisconsin – Madison Madison, Wisconsin Phone: (608) 262-4908 Fax: (608) 262-4376 e-mail:
[email protected] Delroy Armstrong Department of Agricultural Economics & Agribusiness Louisiana State University Baton Rouge, Louisiana Phone: (225) 578-2757 Fax: (225) 578-2716 e-mail:
[email protected] ___________ 1Hector Zapata and D. Armstrong are Professor and research assistant, respectively, Department of Agricultural Economics and Agribusiness, Louisiana State University, Baton Rouge, Louisiana. Dr. T Randall Fortenbery is the Renk Professor of Agribusiness, at the Department of Agriculture and Applied Economics, University of Wisconsin, Madison, Wisconsin. Price Discovery in the World Sugar Futures and Dominican Republic Cash Market Abstract This paper examines the relationship between #11 sugar futures prices traded in New York and the world cash prices for exported sugar.