01819cas a2200253 a 4500 AALejournalIMF006965 230101c9999 xx r poo 0 0eng d 5.00 USD 9781455211791 1018-5941 BD-DhAAL BD-DhAAL Saadi Sedik, Tahsin. A Barrel of Oil or a Bottle of Wine : How Do Global Growth Dynamics Affect Commodity Prices? / Tahsin Saadi Sedik, Serhan Cevik. Washington, D.C. : International Monetary Fund, 2011. 1 online resource (19 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper investigates the causes of extreme fluctuations in commodity prices from 1990 to 2010. Analyzing two very distinct commodities-crude oil and fine wine, we find that macroeconomic factors are the main determinants of commodity prices. Although supply constraints have the expected effect, aggregate demand growth is the key factor. The empirical results show that while advanced economies account for more than half of global consumption, emerging economies make up the bulk of the incremental change in demand, thereby having a greater weight in commodity price formation. The results also show that the shift in the composition of aggregate commodity demand is a recent phenomenon. Mode of access: Internet Cevik, Serhan. IMF Working Papers; Working Paper ; No. 2011/001 Full text available on IMF http://elibrary.imf.org/view/journals/001/2011/001/001.2011.issue-001-en.xml IMF e-Library