Monetary Policy and Commodity Prices: an endogenous analysis using an SVAR approach

Borradores de Economia
Número: 
610
Publicado: 
Clasificación JEL: 
C32, E31, E52, G14
Palabras clave: 
Monetary policy, Commodity Prices, SVAR models

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This work analyzes the relationship between real interest rates and commodity prices. According to Frankel's hypothesis (1986-2006): "low real interest rates lead to high real commodity prices". However, some empirical evidence suggests that commodity pri