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Terra Latinoamericana

On-line version ISSN 2395-8030Print version ISSN 0187-5779

Abstract

GONZALEZ-PEREZ, Horacio; AVILA-DORANTES, José Antonio; GITTER, Robert J.  and  MARTINEZ-DAMIAN, Miguel Ángel. Price Transmission in the Production Chain of Natural Gas to Anhydrous Ammonia in Mexico. Terra Latinoam [online]. 2011, vol.29, n.3, pp.277-285. ISSN 2395-8030.

Some little-known and essential chains for agriculture are inputs related to agricultural activities. Regarding natural gas corresponds to a different market than anhydrous ammonia, the overall objective of this investigation was to analyze the link between natural gas and anhydrous ammonia prices, it is as liquid fertilizer for direct application in agriculture sector as well as the impact that may exist in these markets by the existence of a state monopoly. Using a dummy variable regression is concluded that the nominal price of ammonia to the farmer who buys a unit asymmetric with respect to the nominal price of natural gas with two-month delay that sell Pemex Petrochemicals, which guides the mexican State if applicable agricultural policy to support this sector, via natural gas prices, though the trend of prices of agricultural nitrogen fertilizer is rising.

Keywords : liquid fertilizer; regression; asymmetric; nominal price; agriculture.

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