The Natural Resources Trap: Private Investment Without Public Commitment (Hardcover)

The Natural Resources Trap: Private Investment Without Public Commitment Cover Image
By William Hogan (Editor), Federico Sturzenegger (Editor), Laurence Tai (Contribution by)
$11.99
Email or call for price.

Description


Experts discuss the contractual instability resulting from commodity price volatility and its effect on private investment and public involvement.

Volatility in commodity prices has been accompanied by perpetual renegotiation of contracts between private investors in natural resource production and the governments of states with mineral and energy wealth. When prices skyrocket, governments want a larger share of revenues, sometimes to the point of nationalization or expropriation; when prices fall, larger state participation becomes a burden and the private sector is called back in. Recent and newsworthy changes in the price of oil (which fell from an all-time high of $147 in mid-2008 to $40 by year's end) are notable for their speed and the steepness of their rise and fall, but the up-and-down pattern itself is not unusual. If the unpredictability of commodity prices is so predictable, why do contracts not allow for this with mechanisms that would provide a more stable commercial framework?

In The Natural Resources Trap, top scholars address this question in terms of both theory and practice. Theoretical contributions range across a number of fields, from contract theory to public finance, and treat topics that include taxation, royalties, and expropriation cycles. Case studies examine experiences in the U.K., Bolivia, Argentina, Venezuela, and other parts of the world.

Contributors
Philippe Aghion, George-Marios Angeletos, Fernando Candia Castillo, Rafael di Tella, Juan Dubra, Eduardo Engel, Ram n Espinasa, Ronald Fischer, Jeffrey Frankel, Nicol's Gadano, Dieter Helm, William Hogan, Robert MacCulloch, Osmel Manzano, Francisco Monaldi, Bijan Mossavar-Rahmani, Erich Muehlegger, Fernando Navajas, Robert Pindyck, Luc a Quesada, Roberto Rigobon, Eduardo S. Schwartz, Federico Sturzenegger, Lawrence Summers, Laurence Tai, Michael Tomz, Anders B. Trolle, Louis T. Wells, Nils Wernerfelt, Mark L. J. Wright, Richard Zeckhauser, Jeromin Zettelmeyer

About the Author


William Hogan is Raymond Plank Professor of Global Energy Policy at Harvard's Kennedy School of Government.


Product Details
ISBN: 9780262013796
ISBN-10: 0262013797
Publisher: MIT Press
Publication Date: June 30th, 2010
Pages: 519
Language: English