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From Trends in Commodities and Manufactures to Country Terms of Trade

  • Ziesemer, Thomas


    (UNU-MERIT, and Maastricht University)

The debate about the Prebisch-Singer thesis has focussed on primary commodities with some extensions to manufactures. As we think that the link between the terms of trade and longrun development, growth and convergence is the ability of exports to enhance investment through importing capital goods we analyse trends in country terms-of-trade. We use two data sets. We find that for the poor countries the terms of trade of goods and services are falling at a rate that is less negative than for net-barter terms of trade and those found earlier for primary commodities.

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Paper provided by United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT) in its series MERIT Working Papers with number 022.

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Date of creation: 2010
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Handle: RePEc:unm:unumer:2010022
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