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How Will the Hog Futures Smooth Price Fluctuations in China’s Pig Market
- 1 Nanjing Foreign Language School
- 2 Wuhan University
- 3 NC state university
- 4 The Ohio State University
* Author to whom correspondence should be addressed.
Abstract
This paper focuses on hog futures and their effects in smoothing price fluctuations in China's hog market. We analyze the reasons for the current market situation in China based on theories of herding development and the cobweb model. We explore hog futures' functions and actual influences. Based on the data from Muyuan, China's largest listed hog enterprise, we examine how hog producers utilize lots to ensure their profits. We make theoretical predictions development of China's hog futures and possible changes in the whole market.
Keywords
hog futures, Chinese pig market, hedging
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Cite this article
Yang,X.;Li,S.;Zhou,Z.;Wang,M. (2023). How Will the Hog Futures Smooth Price Fluctuations in China’s Pig Market. Advances in Economics, Management and Political Sciences,32,62-70.
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