Commodity-related shortfalls in export earnings, Managerial Economics

Assignment Help:

A complementary facility for commodity-related shortfalls in export earnings

This is the most recent proposal of the Group of 77 at UNCTAD in June 1979.  There they requested that the UNCTAD secretariat in consultation with the IMF staff carry out a detailed study for a complementary facility' to compensate for shortfalls in each commodity, taking account of its financial requirements, possible sources of financing, its financial feasibility, institutional arrangements and the modalities and considerations that would provide adequate compensation in real terms to developing countries ...' it is intended that this should be additional to improvements in the CFF to the IMF and other IFC arrangements.  Most of the OECD nations voted against this resolution or abstained.

If the major worry of the LDCs is fluctuations in their export earnings (and this is what has usually been maintained) the CFF approach offers much greater prospects of success.  There is scope for reforming and expanding it, but not in the direction of turning it into a mechanism for long-term transfers of resources to LDCs.  The criteria for long-term assistance out to differ significantly from the relatively automatic provision of short-term finance to meet balance-of-payments problems induced by export instability.


Related Discussions:- Commodity-related shortfalls in export earnings

Managerial economic, gap between economic theory and business practice

gap between economic theory and business practice

What is oligopoly, What is Oligopoly? Oligopoly is a general market str...

What is Oligopoly? Oligopoly is a general market structure. This arises from similar forces that lead to monopoly, except within weaker form. This is an industry along with onl

Electron control inc, electron control,inc.,cells voltage regulators to oth...

electron control,inc.,cells voltage regulators to other manufacturers , who then customize and distribute the products to quality assurance labs for their sensitive test equipment.

Demand function for money, Demand Function for Money In the Keynesian a...

Demand Function for Money In the Keynesian analysis , the demand for money is a function of the level of income and the rate of interest. According to Milton Friedman, the dema

Average propensity to save, Average Propensity to save The Average Pro...

Average Propensity to save The Average Propensity to Save [APS] is defined as the fraction of aggregate national income which is devoted to savings.  Thus if S denotes savin

Approaches to measuring national income, APPROACHES TO MEASURING NATIONAL I...

APPROACHES TO MEASURING NATIONAL INCOME The compilation of national income statistics is a very laborious task.  The total wealth of a nation has to be added up and there are

Price elasticity of supply and the slope of the slope curve, PRICE ELASTICI...

PRICE ELASTICITY OF SUPPLY AND THE SLOPE OF THE SLOPE CURVE For a straight line supply curve, the gradient is constant along the whole length of the curve, but elasticity

Production-possibilities, a) A change in demand means that: b) On the pr...

a) A change in demand means that: b) On the production-possibilities drawing, unemployment is represented by:

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd