01720cas a2200241 a 4500 AALejournalIMF010553 230101c9999 xx r poo 0 0eng d 15.00 USD 9781451947168 1020-7635 BD-DhAAL BD-DhAAL International Monetary Fund. Research Dept. IMF Staff papers : Volume 41 No. 2. Washington, D.C. : International Monetary Fund, 1994. 1 online resource (220 pages) IMF Staff 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 Primary commodities still account for the bulk of exports in many developing countries. However, real commodity prices have been declining almost continuously since the early 1980s. The appropriate policy response to a terms of trade shock depends importantly on whether the shock is perceived to be temporary or permanent. Our results indicate that the recent weakness in commodity prices is mostly secular, stressing the need for commodity exporting countries to concentrate on export diversification and other structural policies. There is, however, scope for stabilization funds and the use of hedging strategies, since the evidence also suggests commodity prices have become more volatile. Mode of access: Internet IMF Staff Papers; IMF Staff Papers ; No. 1994/002 Full text available on IMF http://elibrary.imf.org/view/journals/024/1994/002/024.1994.issue-002-en.xml IMF e-Library