IDEAS home Printed from https://ideas.repec.org/p/imf/imfwpa/2009-056.html
   My bibliography  Save this paper

A Primeron Fiscal Analysis in Oil-Producing Countries

Author

Listed:
  • Mr. Paulo A Medas
  • Ms. Daria V Zakharova

Abstract

This paper proposes an integrated approach to fiscal policy analysis in oil producing countries (OPCs) geared towards addressing their unique and complex policy challenges. First, an accurate assessment of the fiscal stance in OPCs can be obscured by large and volatile oil revenue flows. Second, uncertain and volatile oil revenue flows can complicate the management of macroeconomic policies in these countries. Third, given the exhaustibility of oil reserves, OPCs need to address longer-term sustainability and intergenerational equity issues. The use of non-oil fiscal indicators, stress tests, medium-term frameworks, and permanent oil income models can greatly aid in addressing these challenges.

Suggested Citation

  • Mr. Paulo A Medas & Ms. Daria V Zakharova, 2009. "A Primeron Fiscal Analysis in Oil-Producing Countries," IMF Working Papers 2009/056, International Monetary Fund.
    • Handle: RePEc:imf:imfwpa:2009/056
    as

    Download full text from publisher

    File URL: http://www.imf.org/external/pubs/cat/longres.aspx?sk=22782
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. van der Ploeg, Frederick & Venables, Anthony, 2008. "Harnessing Windfall Revenues in Developing Economies: Sovereign Wealth Funds and Optimal Tradeoffs Between Citizen Dividends, P," CEPR Discussion Papers 6954, C.E.P.R. Discussion Papers.
    2. Aizenman, Joshua & Marion, Nancy P, 1993. "Policy Uncertainty, Persistence and Growth," Review of International Economics, Wiley Blackwell, vol. 1(2), pages 145-163, June.
    3. Mr. Qing Wang & Mr. Ugo Fasano-Filho, 2002. "Testing the Relationship Between Government Spending and Revenue: Evidence From GCC Countries," IMF Working Papers 2002/201, International Monetary Fund.
    4. Anthony Venables & Rick Van der Ploeg, 2008. "Harnessing Windfall Revenues: Optimal Policies for resrouce-ruch developing countries," OxCarre Working Papers 009, Oxford Centre for the Analysis of Resource Rich Economies, University of Oxford.
    5. Paul Collier & Benedikt Goderis, 2007. "Commodity Prices, Growth, and the Natural Resource Curse: Reconciling a Conundrum," CSAE Working Paper Series 2007-15, Centre for the Study of African Economies, University of Oxford.
    6. Mr. David Coady & Mr. Taimur Baig & Mr. Joseph Ntamatungiro & Mr. Amine Mati, 2007. "Domestic Petroleum Product Prices and Subsidies: Recent Developments and Reform Strategies," IMF Working Papers 2007/071, International Monetary Fund.
    7. Ms. Nada Choueiri & Mr. Klaus-Stefan Enders & Mr. Yuri V Sobolev & Mr. Jan Walliser & Mr. Sherwyn Williams, 2002. "Yemen in the 1990s: From Unification to Economic Reform," IMF Occasional Papers 2002/007, International Monetary Fund.
    8. Collier, Paul & Goderis, Benedikt, 2008. "Commodity Prices, Growth, and the Natural Resource Curse: Reconciling a Conundrum," MPRA Paper 17315, University Library of Munich, Germany.
    9. Stéphane Carcillo & Mr. Mauricio Villafuerte & Mr. Daniel Leigh, 2007. "Catch-Up Growth, Habits, Oil Depletion, and Fiscal Policy: Lessons from the Republic of Congo," IMF Working Papers 2007/080, International Monetary Fund.
    10. Michael Gavin, 1997. "A Decade of Reform in Latin America: Has it Delivered Lower Volatility?," IDB Publications (Working Papers) 6429, Inter-American Development Bank.
    11. Milton Friedman, 1957. "A Theory of the Consumption Function," NBER Books, National Bureau of Economic Research, Inc, number frie57-1.
    12. Michael Gavin, 1997. "A Decade of Reform in Latin America: Has it Delivered Lower Volatility?," Research Department Publications 4076, Inter-American Development Bank, Research Department.
    13. Mr. Mauricio Villafuerte & Mr. Rolando Ossowski & Mr. Theo Thomas & Mr. Paulo A Medas, 2008. "Managing the Oil Revenue Boom: The Role of Fiscal Institutions," IMF Occasional Papers 2008/003, International Monetary Fund.
    14. Gavin, Michael, 1997. "A Decade of Reform in Latin America: Has it Delivered Lower Volatility?," IDB Publications (Working Papers) 6206, Inter-American Development Bank.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Mauricio Villafuerte & Pablo López-Murphy & Rolando Ossowski, 2011. "Riding the Roller Coaster: Fiscal Policies of Nonrenewable Resources Exporters in Latin America and the Caribbean ," Working Papers Central Bank of Chile 609, Central Bank of Chile.
    2. Pablo Lopez Murphy & Mr. Mauricio Villafuerte & Mr. Rolando Ossowski, 2010. "Riding the Roller Coaster: Fiscal Policies of Nonrenewable Resource Exporters in Latin America and the Caribbean," IMF Working Papers 2010/251, International Monetary Fund.
    3. Francesco Caselli & Guy Michaels, 2013. "Do Oil Windfalls Improve Living Standards? Evidence from Brazil," American Economic Journal: Applied Economics, American Economic Association, vol. 5(1), pages 208-238, January.
    4. Jean-Luc Hélis & Ms. Teresa Daban Sanchez, 2010. "A Public Financial Management Framework for Resources-Producing Countries," IMF Working Papers 2010/072, International Monetary Fund.
    5. Paul Collier & Benedikt Goderis, 2008. "Does Aid Mitigate External Shocks?," WIDER Working Paper Series DP2008-06, World Institute for Development Economic Research (UNU-WIDER).
    6. Amin Karimu & George Adu & George Marbuah & Justice Tei Mensah & Franklin Amuakwa-Mensah, 2017. "Natural Resource Revenues and Public Investment in Resource-rich Economies in Sub-Saharan Africa," Review of Development Economics, Wiley Blackwell, vol. 21(4), pages 107-130, November.
    7. Depetris Chauvin, Nicolas & Rohner, Dominic, 2009. "The Effects of Conflict on the Structure of the Economy," Proceedings of the German Development Economics Conference, Frankfurt a.M. 2009 6, Verein für Socialpolitik, Research Committee Development Economics.
    8. Frankel, Jeffrey A., 2012. "The Natural Resource Curse: A Survey of Diagnoses and Some Prescriptions," Scholarly Articles 8694932, Harvard Kennedy School of Government.
    9. Paul Collier & Benedikt Goderis, 2007. "Does aid mitigate external shocks?," CSAE Working Paper Series 2007-18, Centre for the Study of African Economies, University of Oxford.
    10. International Monetary Fund, 2009. "Spillovers From the Rest of the World Into Sub-Saharan African Countries," IMF Working Papers 2009/155, International Monetary Fund.
    11. Arbache, Jorge & Go, Delfin S. & Page, John, 2008. "Is Africa's economy at a turning point?," Policy Research Working Paper Series 4519, The World Bank.
    12. Malebogo Bakwena & Philip Bodman & Thanh Le & KK Tang, "undated". "Avoiding the Resource Curse: The Role of Institutions," MRG Discussion Paper Series 3209, School of Economics, University of Queensland, Australia.
    13. Leandro Medina, 2010. "The Dynamic Effects of Commodity Prices on Fiscal Performance in Latin America," IMF Working Papers 2010/192, International Monetary Fund.
    14. International Monetary Fund, 2009. "Commodity Terms of Trade: The History of Booms and Busts," IMF Working Papers 2009/205, International Monetary Fund.
    15. Benedikt Goderis & Samuel W. Malone, 2011. "Natural Resource Booms and Inequality: Theory and Evidence," Scandinavian Journal of Economics, Wiley Blackwell, vol. 113, pages 388-417, June.
    16. Paul Collier & Benedikt Goderis, 2008. "Review of Development Economics: Does Aid Mitigate External Shocks?," OxCarre Working Papers 006, Oxford Centre for the Analysis of Resource Rich Economies, University of Oxford.
    17. Shahbaz, Muhammad & Ahmed, Khalid & Tiwari, Aviral Kumar & Jiao, Zhilun, 2019. "Resource curse hypothesis and role of oil prices in USA," Resources Policy, Elsevier, vol. 64(C).
    18. Collier, Paul & Hoeffler, Anke, 2009. "Testing the neocon agenda: Democracy in resource-rich societies," European Economic Review, Elsevier, vol. 53(3), pages 293-308, April.
    19. Kaznacheev, Peter, 2013. "Resource Rents and Economic Growth: Economic and institutional development in countries with a high share of income from the sale of natural resources. Analysis and recommendations based on internatio," EconStor Research Reports 121950, ZBW - Leibniz Information Centre for Economics.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:imf:imfwpa:2009/056. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Akshay Modi (email available below). General contact details of provider: https://edirc.repec.org/data/imfffus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.