This study investigated the transmission of world price shocks in the cashew nut sector in Benin using a co-movement analysis on the cyclical components of prices and SVAR models. The results showed a negative correlation between the Benin cashew price and the world cashew supply. This finding suggests that supply shocks mainly drive fluctuations in cashew price in Benin. Demand shocks are evident, but their impact is less significant. The co-movement analysis between Vietnam's WW320 cashew price and Benin's cashew price revealed a positive correlation, indicating that fluctuations in the Vietnamese price are transmitted to the Beninese price. The Beninese price is more volatile, which supports the effect of shocks being more pronounced on the Beninese price. Applying a short-term sign restriction of 2 months, the SVAR model confirms the results of the co-movement analysis. In fact, using the impulse response function, we have seen that the price of cashew nuts in Benin is more volatile than the price of cashew nuts in Vietnam after any shock (demand or supply). The study contributed to a comprehensive understanding of the cashew industry's fluctuations and the response of Benin to shocks on the world price. This research has deepened our knowledge and laid the foundation for future research and policy considerations in commodity markets and their impact on national economies.
| la date de réponse | 7 sept. 2023 |
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| langue originale | Anglais |
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| L'institution diplômante | |
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| Superviseur | Romain Houssa (Promoteur) |
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Transmission of World Commodity Price Shocks in Benin: Case of the Cashew Nuts Sector
TOSSOU, B. (Auteur). 7 sept. 2023
Student thesis: Master types › Master de spécialisation en économie internationale et du développement