Aggressive oil extraction and precautionary saving: coping with volatility

Aggressive oil extraction and precautionary saving: coping with volatility

The effects of stochastic oil demand on optimal oil extraction paths and tax, spending and government debt policies are analyzed when the oil demand schedule is linear and preferences quadratic. Without prudence, optimal oil extraction is governed by the Hotelling rule and optimal budgetary policies...

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Autor principal:	Van der Ploeg, R
Format:	Working paper
Publicat:	University of Oxford 2009

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