IMF finds formula for trade-shock recovery

Real exchange rate depreciation, along with improvements in government stability and the institutional environment can lead to a speedy recovery from terms-of-trade shocks, research published by the International Monetary Fund finds.

The research uses data from 159 countries taken from 1970 until 2006 to show a "fairly robust" relationship between the policy shifts and a fast recovery.

A timely increase in aid may also help.

To read the research, click here

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here:

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: