 The transmission of world commodity prices to domestic markets under policy reforms in developing countriesJohn Baffes () and Bruce Gardner Journal of Economic Policy Reform, 2003, vol. 6, issue 3, 159-180 Abstract: This paper examines the degree to which world price signals have been transmitted into domestic prices for eight countries and ten commodities, a total of 31 country/commodity pairs. The main characteristic of these countries was that they all undertook substantial policy reforms during the mid‐1980s to early 1990s. The paper investigates the effect of reforms on the speed at which signals were transmitted to domestic markets and on the extent of price transmission. We find that Chile, Mexico, and Argentina are the only countries whose domestic commodity markets were integrated with world markets. For the remaining cases (Ghana, Madagascar, Indonesia, Egypt, and Colombia) in only a few country/commodity pairs is there some passthrough of world price changes. In terms of the effects of policy reforms, in the majority of the cases the hypothesis of a structural break following the reform year is rejected. Date: 2003 Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:taf:jpolrf:v:6:y:2003:i:3:p:159-180 Ordering information: This journal article can be ordered from DOI: 10.1080/0951274032000175770 Access Statistics for this article Journal of Economic Policy Reform is currently edited by Dr Judith Clifton More articles in Journal of Economic Policy Reform from Taylor & Francis Journals |
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