Fiscal Sustainability with Non-Renewable Resources

Fiscal Sustainability with Non-Renewable Resources
Author :
Publisher : International Monetary Fund
Total Pages : 37
Release :
ISBN-10 : 9781451844351
ISBN-13 : 1451844352
Rating : 4/5 (51 Downloads)

Book Synopsis Fiscal Sustainability with Non-Renewable Resources by : Mr.Nigel Andrew Chalk

Download or read book Fiscal Sustainability with Non-Renewable Resources written by Mr.Nigel Andrew Chalk and published by International Monetary Fund. This book was released on 1998-03-01 with total page 37 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper assesses sustainable fiscal behavior in an economy where wealth is derived predominantly from a non-renewable resource. It explores the issue in a simple dynamic framework that highlights the structural weaknesses in the underlying budgetary position, takes into account the rate of depletion of a country’s natural resource base, and examines the impact of changes in a country’s terms of trade. An alternative indicator of fiscal sustainability is derived, and the principal factors determining sustainability are identified. The results of the analysis are applied to Venezuela and Kuwait.


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