Terms of Trade Shocks in Africa Are they Short-Lived or Long-Lived?

This paper examines the persistence of shocks to the terms of trade, using annual data on 42 Sub-Saharan African countries between 1960-96. We find that the persistence of terms of trade shocks varies widely—for about half the countries such shocks are short-lived, while for one-third of the countri...

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Bibliographic Details
Main Author: Cashin, Paul
Other Authors: Pattillo, Catherine
Format: eBook
Language:English
Published: Washington, D.C. International Monetary Fund 2000
Series:IMF Working Papers
Subjects:
Online Access:
Collection: International Monetary Fund - Collection details see MPG.ReNa
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245 0 0 |a Terms of Trade Shocks in Africa  |b Are they Short-Lived or Long-Lived?  |c Paul Cashin, Catherine Pattillo 
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300 |a 51 pages 
651 4 |a Congo, Democratic Republic of the 
653 |a Inflation 
653 |a Import prices 
653 |a Terms of trade 
653 |a Dynamic Treatment Effect Models 
653 |a Economic policy; nternational cooperation 
653 |a Deflation 
653 |a Open Economy Macroeconomics 
653 |a Trade: General 
653 |a Diffusion Processes 
653 |a Exports and Imports 
653 |a International economics 
653 |a Time-Series Models 
653 |a Investments: Commodities 
653 |a Commodities 
653 |a Price Level 
653 |a International trade 
653 |a Exports 
653 |a Prices 
653 |a Macroeconomics 
653 |a Commodity prices 
653 |a Dynamic Quantile Regressions 
653 |a Investment & securities 
653 |a Empirical Studies of Trade 
653 |a Commercial products 
653 |a Imports 
653 |a Commodity Markets 
653 |a Agriculture in International Trade 
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520 |a This paper examines the persistence of shocks to the terms of trade, using annual data on 42 Sub-Saharan African countries between 1960-96. We find that the persistence of terms of trade shocks varies widely—for about half the countries such shocks are short-lived, while for one-third of the countries such shocks are long-lived. The countries experiencing long-lived terms of trade shocks are typically those that have large shares of petroleum imports in total imports, small shares of nonfuel commodity exports in total exports, and are highly concentrated in exportable commodities with long-lived price shocks