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Introduction:
Periods of commodity price shocks sharply coincide with moments of intense economic stress, which in turn have sometimes led to political upheavals. Rising commodity prices create stress. Inflation goes up. The trade gap widens. The rupee comes under pressure. Falling commodity prices bring relief on all three fronts.
Body:
Commodities, raw or partially processed, are often the most significant exports of developing countries, and revenues obtained from them have an important effect on the economies and living standards in these countries.
The causes of the rise in commodity prices:
Implications for economic growth:
Way forward:
By: ABHISHEK KUMAR GARG ProfileResourcesReport error
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