| Recent literature has shown the importance of climate variability, specifically the El Nino Southern Oscillation (ENSO), on agricultural production within the United States. However, few studies have documented the effect of ENSO on the price of Florida's agricultural products. There is interest in determining the relationship and causality between ENSO and Florida's agricultural commodity prices. An improved understanding of ENSO and commodity prices would assist agricultural producers in enterprise selection and production decisions. Using the United States Department of Agriculture National Agricultural Statistical Service, 30 years of data (1985-2014) for five key row crops (corn, potatoes, wheat, soybeans and peanuts) are considered in the analysis. The correlations and causation are tested with econometric models. Results suggest that ENSO had a statistically significant impact on peanut prices, and there is a causal relationship between climate variability and potato prices. |
