Commodity
in sentence
920 examples of Commodity in a sentence
Panama’s annual GDP growth averaged 8.2%, despite the fact that it did not profit directly from the
commodity
bonanza that benefited Colombia and much of South America.
The collateral damage would include a fall in
commodity
prices, reduced aggregate demand, lower capital inflows, and fiscal retrenchment.
Global-governance institutions are facing many challenges: slowing economic growth, volatile financial markets, falling
commodity
prices, emerging-economy risks (especially in China), refugee and migrant waves, geopolitical tensions, rising inequality and social fragmentation, and the threat of violent extremism.
In short, while Latin America’s economies were helped by high
commodity
prices, it is indisputable that the significant economic reforms adopted in most countries enabled them to have a “good crisis.”
But today’s situation shares two features with the earlier episodes of financial euphoria over Latin America: sky-high
commodity
prices and cheap international money.
In the past, episodes of dirt-cheap money and
commodity
prices on steroids ended badly for Latin America.
Once upon a time in Latin America, fiscal policies were extremely pro-cyclical: whenever
commodity
prices fell, governments lost access to capital markets, so they had to eliminate their deficits just when conditions called for fiscal expansion.
That fiscal impulse, coupled with high
commodity
prices and abundant credit, continues to fuel economic growth today – often at the expense of stability and growth tomorrow.
Kenya is tasked with developing a regional
commodity
exchange, improving human resources through education and consultancy services, and building both crude and refined oil pipelines.
More consumption and less heavy industry will also reduce China’s demand for raw materials, dampening global
commodity
prices.
In a setting of moderate world growth and a dollar unlikely to weaken,
commodity
prices will behave well.
Instead, too many developing countries have allowed their currencies to become overvalued, relying on booming
commodity
demand or financial inflows.
Part of the problem is imported: The collapse in
commodity
prices and the tightening of international financial conditions hit Brazil hard.
Yet other
commodity
exporters in South America are in much better shape.
Most South American countries are heavy
commodity
exporters, and the Asian crisis drove down world market prices for a wide range of commodities, including oil, copper, and agricultural products.
In a flexible exchange rate system, currencies would have gradually depreciated, as happened in some other
commodity
exporting countries (such as Canada, Australia, and New Zealand).
Many emerging markets have been hit by lower prices for their
commodity
exports, but India’s exports of goods seem to be doing worse recently than those of other emerging markets.
As a result, while sliding equity markets and a further decline in oil (and other commodity) prices have sparked much talk of another global recession, dire predictions are likely to prove overly gloomy and misdirected.
Now that all of the main oil producers are unequivocally committed to maximizing production, regardless of the impact prices, oil will continue to trade just like any other
commodity
(for example, iron ore) that is in oversupply in a competitive market.
Yet, along with “good” asset-price inflation, aimed at making people feel richer and spend more, these approaches have delivered “bad” inflation, owing to surging
commodity
prices, which impose a tax on both inputs and consumers.
Needless to say, demographic transitions,
commodity
constraints, and geopolitical uncertainties complicate all of this.
Truth, like trust, is a
commodity.
The Silver Lining in High
Commodity
PricesCambridge – Today’s soaring
commodity
prices scream a fundamental truth of modern life that many politicians, particularly in the West, don’t want us to hear: the world’s natural resources are finite, and, as billions of people in Asia and elsewhere escape poverty, Western consumers will have to share them.
Of course, it is not just oil prices that are high, but all
commodity
prices, from metals to food to lumber.
Broad-based
commodity
shortages often begin to emerge at the end of long global expansions, and in this respect, the present boom is no different.
If “speculators” are bidding up today’s
commodity
prices because they realize that future generations are going to want commodities, too, isn’t that a healthy development?
Admittedly, the global
commodity
price boom has had profound, albeit enormously complex and uncertain, effects on poverty.
While surging
commodity
prices are helping poor farmers and poor resource-rich countries, they are a catastrophe for the urban poor, some of whom spend 50% or more of their income on food.
Of course, it should be noted that if economic reform in resource-rich Africa had been proceeding at the same pace as in Asia, the era of soaring
commodity
prices might have been postponed for another century.
For now, though, instead of whining about high
commodity
prices, governments should be shielding only their very poorest citizens, and letting the price spikes serve as a wake-up call for the rest of us.
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