Constraintson the Design and Implementation of Monetary Policy in Oil Economies : the Case of Venezuela.

By definition, fiscal dominance impedes the effective implementation of any monetary strategy aimed at controlling inflation. Economies that exhibit oil dominance-a situation in which oil exports largely affect the main macroeconomic indicators-may also exhibit fiscal dominance. However, in this cas...

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Bibliographic Details
Corporate Author: International Monetary Fund
Format: eBook
Language:English
Published: Washington, D.C. : International Monetary Fund, 2008.
Series:IMF Working Papers ; Working Paper no. 08/142.
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Online Access:Click for online access

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245 1 0 |a Constraintson the Design and Implementation of Monetary Policy in Oil Economies :  |b the Case of Venezuela. 
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490 1 |a IMF Working Papers,  |x 2227-8885 ;  |v Working Paper No. 08/142 
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520 3 |a By definition, fiscal dominance impedes the effective implementation of any monetary strategy aimed at controlling inflation. Economies that exhibit oil dominance-a situation in which oil exports largely affect the main macroeconomic indicators-may also exhibit fiscal dominance. However, in this case, the standard indicators used to gauge the presence of fiscal dominance may fail to give the appropriate signals. The main purpose of this paper is twofold: i) to present a simple framework to analyze fiscal dominance in oil exporting countries and ii) to test the hypothesis of the presence of oil dominance/fiscal dominance (OD/FD) in the case of Venezuela. Using VAR and VEC models it is possible to conclude that there is relevant evidence supporting the validity of the OD/FD hypothesis. 
650 0 |a Petroleum industry and trade  |z Venezuela  |x Econometric models. 
650 0 |a Fiscal policy  |z Venezuela  |x Econometric models. 
650 0 |a Monetary policy  |z Venezuela  |x Econometric models. 
650 7 |a Fiscal policy  |x Econometric models  |2 fast 
650 7 |a Monetary policy  |x Econometric models  |2 fast 
650 7 |a Petroleum industry and trade  |x Econometric models  |2 fast 
651 7 |a Venezuela  |2 fast  |1 https://id.oclc.org/worldcat/entity/E39PBJmDpj4Bm8XF33tDc3kxDq 
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776 0 8 |i Print version:  |a Fund, International Monetary.  |t Constraints on the Design and Implementation of Monetary Policy in Oil Economies: The Case of Venezuela.  |d Washington : International Monetary Fund, ©2008  |z 9781451870008 
830 0 |a IMF Working Papers ;  |v Working Paper no. 08/142. 
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