Indeed, no lasting structural transformation could be achieved without export diversification. A classic argument is that diversifying out of commodities could help exporters escape a longterm decline of their terms of trade (the so-called Prebisch-Singer hypothesis). This argument, however, does not seem to hold any more since many LDCs have actually seen a steady rise in the prices of the commodities they export. Nevertheless, there is strong evidence that a well-diversified economy is resilient to external shocks and creates enhanced opportunities for inclusive growth through better jobs.