Decomposing Terms of Trade Fluctuations in Ethiopia

Konferenzbeitrag

This paper proposes a technique to decompose short-run fluctuations in the terms of trade. Using Ethiopia as an example, we decompose the commodity terms of trade into various components to measure the impact of price and volume shifts as well as export diversification. We use monthly data from the past decade, including periods during the global food and financial crises. Our findings suggest that diversification out of traditional coffee exports to other export commodities successfully mitigated a terms of trade shock. Continued export diversification will be beneficial.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Beiträge zur Jahrestagung des Vereins für Socialpolitik 2011: Die Ordnung der Weltwirtschaft: Lektionen aus der Krise - Session: Trade, Developing Countries, and Technology Adoption ; No. D15-V3

Classification and Topics

• Classification: Wirtschaft ; Empirical Studies of Trade ; Macroeconomic Analyses of Economic Development ; Economywide Country Studies: Africa
• Subject: Terms of Trade ; Food Price Crisis ; Financial Crisis ; Ethiopia

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Loening, Josef L. ; Higashi, Masato
• Event: Veröffentlichung
• (when): 2011

Further information

• Handle: http://hdl.handle.net/10419/48727
• Last update: 10.03.2025, 11:43 AM CET