Managing and harnessing volatile oil windfalls

Three funds are necessary to manage an oil windfall: intergenerational, liquidity and investment funds. The optimal liquidity fund is bigger if the windfall lasts longer and oil price volatility, prudence and the GDP share of oil rents are high and productivity growth is low. We apply our theory to...

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Bibliographic Details
Main Authors: Van der Ploeg, R, van den Bremer, T
Format: Working paper
Published: University of Oxford 2012