Agricultural commodity price shocks and their effect on growth in sub-Saharan Africa

Arbeitspapier

Commodity price shocks are an important type of external shock and are often cited as a problem for economic growth in sub-Saharan Africa. This paper quantifies the impact of agricultural commodity price shocks using a near vector autoregressive model. The novel aspect of this model is that we define an auxiliary variable that can potentially capture the definition of a price shock that allows us to determine whether the response of per capita Gross domestic product (GDP) growth in sub-Saharan Africa to these price shocks is asymmetric. We find that there is evidence of such asymmetric responses to commodity price shocks.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: WIDER Working Paper ; No. 2013/098

Classification and Topics

• Classification: Wirtschaft ; Prices, Business Fluctuations, and Cycles: General (includes Measurement and Data) ; Macroeconomic Aspects of International Trade and Finance: General ; Macroeconomic Analyses of Economic Development
• Subject: commodity prices ; external shocks ; price shocks ; economic growth ; aid flows

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Addison, Tony ; Ghoshray, Atanu
• Event: Veröffentlichung
• (who): The United Nations University World Institute for Development Economics Research (UNU-WIDER)
• (where): Helsinki
• (when): 2013

Further information

• Handle: http://hdl.handle.net/10419/93685
• Last update: 10.03.2025, 11:44 AM CET