Bolivia : The Hydrocarbons Boom and the Risk of Dutch Disease / Eugenio Cerutti, Mario Mansilla.

Format:

Book

Government document

Author/Creator:

Cerutti, Eugenio.

Contributor:

Mansilla, Mario.

Series:

IMF Working Papers; Working Paper ; No. 2008/154

IMF working paper ; WP/08/154

IMF Working Papers

Language:

English

Subjects (All):

Hydrocarbons--Economic aspects--Bolivia.

Hydrocarbons.

Foreign exchange rates--Bolivia.

Foreign exchange rates.

Bolivia--Economic conditions.

Bolivia.

Physical Description:

1 online resource (22 p.)

Edition:

1st ed.

Place of Publication:

Washington, D.C. : International Monetary Fund, 2008.

Language Note:

English

Summary:

The hydrocarbons sector has become one of the most dynamic economic activities in the Bolivian economy and the main driver of improved export performance and international reserve accumulation. The central role of the hydrocarbons sector in the economy is attributable to the high levels of investment made in the late 1990s, which permitted much higher production levels, particularly of natural gas. However those positive developments in the hydrocarbons sector have given rise to the possibility of a new case of "Dutch disease." While Bolivia's economy has already seen many benefits from its higher gas exports, especially in terms of lower external vulnerability and improved fiscal stance, the new resources could also limit the development of other economic sectors in terms of output and factor income. This paper explores the transmission channels of Dutch disease, as well as its main symptom, the appreciation of the real exchange rate.

Contents:

Contents; I. Introduction; II. Key Developments in the Hydrocarbons Sector; Figures; 1. Foreign Direct Investment by Sectors; 2. Natural Gas Reserves; A. Looming Capacity Constraints and Prospects for Additional Investments; 3. Natural Gas Sales Volume; B. Recent Institutional Changes and Possible Impact on Investment; III. Hydrocarbons Boom and Risk of Dutch Disease; A. Evolution of the real exchange rate; 4. Distribution of Gas Exports Receipts and Fiscal Balances; 5. Real and Nominal Exchange Rate; 6. Inflation and Relative Prices; IV. Policy Implications

7. External Sector Performance and Growth Appendix: Equilibrium Real Exchange Rate; References

Notes:

Description based upon print version of record.

Includes bibliographical references.

Description based on online resource; title from PDF front page (ebrary, viewed February 26, 2014).

ISBN:

9786612841057

9781462302321

1462302327

9781452771281

1452771286

9781282841055

128284105X

9781451870121

1451870124

OCLC:

763089245