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External Capital Structures and Oil Price Volatility / John D. Burger, Alessandro Rebucci, Francis E. Warnock, Veronica Cacdac Warnock.

NBER Working papers Available online

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Format:
Book
Author/Creator:
Burger, John D.
Contributor:
National Bureau of Economic Research.
Rebucci, Alessandro.
Warnock, Francis E.
Warnock, Veronica Cacdac.
Series:
Working Paper Series (National Bureau of Economic Research) no. w16052.
NBER working paper series no. w16052
Language:
English
Physical Description:
1 online resource: illustrations (black and white);
Place of Publication:
Cambridge, Mass. National Bureau of Economic Research 2010.
Summary:
We assess the extent to which a country's external capital structure can aid in mitigating the macroeconomic impact of oil price shocks. We study two Caribbean economies highly vulnerable to oil price shocks, an oil-importer (Jamaica) and an oil-exporter (Trinidad and Tobago). From a risk-sharing perspective, a desirable external capital structure is one that, through international capital gains and losses, helps offset responses of the current account balance to external shocks. We find that both countries could alter their international portfolio to provide a more effective buffer against such shocks.
Notes:
Print version record
June 2010.

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