uu.seUppsala University Publications
Change search
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • ieee
  • modern-language-association
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf
Is opacity-induced minor metal market volatility a threat to promising green technologies?: A study of the tellurium market
Uppsala University, Disciplinary Domain of Humanities and Social Sciences, Faculty of Social Sciences, Department of Economics.ORCID iD: 0000-0002-5560-1124
2013 (English)Independent thesis Advanced level (degree of Master (Two Years)), 20 credits / 30 HE creditsStudent thesis
Abstract [en]

Tellurium is one of the rarest metals in the earth’s crust. Increased demand for cadmium telluride photovoltaic cells along with an opaque pricing and quantity-reporting system, have recently caused high price volatility and a speculative bubble in the tellurium market, resulting in overstocking and depressed prices. In a longer perspective this may be a threat to cadmium telluride photovoltaics as a power-generating technology. This master thesis compares how actors may perceive news innovation in the opaque tellurium market compared to the more transparent molybdenum market. A quantitative analysis of industry news reporting on the two metals, combined with a SVAR impulse response analysis, helps me determine which actors and factors exert most influence on spot market prices. In the opaque tellurium market, relatively unreliable proxies of supply and demand are most frequent in the news reporting while having a big impact on prices, whereas the transparent molybdenum market uses more reliable variables – such as futures prices – and transparent supply information, whilst also relying on a frequent stream of dependable proxies to scope market sentiments. My findings lead me to recommend policy makers to implement measures to increase market transparency, which may be accomplished by extending the data-sharing regime of the REACH database to minor metal markets. Attempting to limit speculation in minor metal markets is perhaps too blunt a tool to fix an inherent problem of a free exchange-pricing mechanism.

Abstract [sv]

Tellur är en av de mest sällsynta metallerna på Jorden. Ökad efterfrågan av kadmiumtelluridsolpaneler har nyligen orsakat stor volatilitet på tellurmarknaden. Ett opakt prissättnings-och kvantitetsrapporteringssystem har bidragit till att en prisbubbla bildats och spruckit, vilket resulterat i att marknadsaktörer köpt på sig stora lager till höga priser som de sedan inte kunnat sälja vidare. I ett längre perspektiv kan detta innebära begränsningar vid tillverkning av solcellsteknologi baserad på kadmiumtellurid, då ett volatilt pris kan göra nya tellurgruvprojekt alltför riskabla. Denna masteruppsats jämför hur en typisk marknadsaktör kan reagera på prisinnovationer i den opaka tellurmarkanden och den mer transparenta molybdenmarknaden. Metoden består av en kvantitativ analys av facknyheter rörande de två metallerna, varifrån variabler väljs till en SVAR modell med impuls-responsanalys. Urvalet av variabler är få och volatila på den opaka tellurmarknaden, medan den mer transparenta molybdenmarknaden har ett större utbud av variabler som kännetecknas av god transparens och relativ förutsägbarhet. Mina slutsatser leder mig till att rekommendera beslutsfattare att vidta åtgärder för att öka tellurmarknadens transparens genom EU-samarbetet, förslagsvis genom att göra anonymiserad data från REACH databasen tillgänglig för allmänheten. Samtidigt avråder jag från åtgärder som syftar till att minska spekulation, då implementering av en sådan policy kan bli både dyr och komplicerad.

Place, publisher, year, edition, pages
2013. , 55 p.
Keyword [en]
Tellurium, Minor Metal, Market Volatility, Market Transparency, Molybdenum, Market Efficiency, REACH, SVAR, Quantitative Analysis, London Metal Exchange
National Category
Economics
Identifiers
URN: urn:nbn:se:uu:diva-201179OAI: oai:DiVA.org:uu-201179DiVA: diva2:626368
External cooperation
Boliden AB
Educational program
Master Programme in Economics
Supervisors
Examiners
Available from: 2013-07-03 Created: 2013-06-07 Last updated: 2013-07-03Bibliographically approved

Open Access in DiVA

F Söderqvist 2013 A Study of the Tellurium Market(8525 kB)768 downloads
File information
File name FULLTEXT01.pdfFile size 8525 kBChecksum SHA-512
83c93f179903a138b5f8ed7b74730d2b175d3182553376cd2bbd1097c446f91679b1f55b6ad8a1a1745f73c98b25f73a80ad865280e4cdedd57888281eba61dd
Type fulltextMimetype application/pdf

Search in DiVA

By author/editor
Söderqvist, Fredrik
By organisation
Department of Economics
Economics

Search outside of DiVA

GoogleGoogle Scholar
Total: 768 downloads
The number of downloads is the sum of all downloads of full texts. It may include eg previous versions that are now no longer available

urn-nbn

Altmetric score

urn-nbn
Total: 875 hits
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • ieee
  • modern-language-association
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf