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Trends, Fluctuations, and Determinants of Commodity Prices

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  • Luis Eduardo Arango

    ()

  • Fernando Arias

    ()

  • Luz Adriana Flórez

    ()

Abstract

A threefold analysis of commodity prices is carried out to observe their long-runbehaviour, their short-run properties and the main determinants. According to theevidence, the Prebisch-Singer hypothesis does not seem to be a property of mostprices. The cycles of commodity prices are asymmetric but contrary to the case ofeconomic activity, the longer phase corresponds to slumps. Interest rates seem tomaintain a negative relationship with commodity prices.

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Bibliographic Info

Paper provided by BANCO DE LA REPÚBLICA in its series BORRADORES DE ECONOMIA with number 004734.

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Length: 30
Date of creation: 30 Jun 2008
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Handle: RePEc:col:000094:004734

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Keywords: commodity prices; real interest rates; Prebisch-Singer hypothesis; short-run behaviour.;

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Cited by:
  1. Carolina Arteaga cabrales & Joan Camilo Granados Castro & Jair Ojeda Joya, 2011. "The Effect of Monetary Policy on Commodity Prices: Disentangling the Evidence for Individual Prices," BORRADORES DE ECONOMIA 009199, BANCO DE LA REPÚBLICA.

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