Republic of Equatorial Guinea: Selected Issues
Electronic Access:
Free Download. Use the free Adobe Acrobat Reader to view this PDF file
Summary:
This Selected Issues paper discusses fiscal sustainability and capital expenditures for Equatorial Guinea. The paper formulates a permanent income hypothesis model and estimates it using data on oil revenues from Equatorial Guinea. The first methodology is based on a standard permanent income model, using a 50-year time horizon and real rate of return of 2 percent. The paper then extends the model to incorporate a feedback effect from capital spending to non-oil GDP growth, and shows its implications for fiscal sustainability.
Series:
Country Report No. 2009/099
Subject:
Capital spending Expenditure Fiscal policy Foreign exchange National accounts Personal income Real effective exchange rates
English
Publication Date:
March 25, 2009
ISBN/ISSN:
9781451816020/1934-7685
Stock No:
1GNQEA2009002
Pages:
34
Please address any questions about this title to publications@imf.org