ABSTRACT
The chapter examines whether past and current components of the EU commodities policies have contributed to the volatility of world commodity prices. Much of the debate today tends to focus on the role of some fi nancial instruments (future markets) in widening price volatility, hence on the need to regulate these instruments. However, as of today, there is no convincing evidence of speculator contribution (Irwin and Sanders, 2012; Irwin, 2013). As a result, the fi rst thing to do is rather to examine the impact of past and existing policies on today’s world prices volatility. If such policies have substantially increased prices volatility – as they do – the fi rst measures to be taken should be to reform these policies.
