Research Discussion Paper – RDP 2013-14 Reserves of Natural Resources in a Small Open Economy

Contents

• Introduction
• Motivation
• Natural Resources in Partial Equilibrium
• Natural Resources in a Small Open Economy
• Robustness
• Conclusion
• Appendix A: Data Sources
• Appendix B: Discussion of the Firms' Resource Problem
• Appendix C: Analysis of the Partial Equilibrium Model
• Appendix D: The Small Open Economy in General Equilibrium
• References

The Discussion Paper series is intended to make the results of the current economic research within the Reserve Bank available to other economists. Its aim is to present preliminary results of research so as to encourage discussion and comment. Views expressed in this paper are those of the authors and not necessarily those of the Reserve Bank. Use of any results from this paper should clearly attribute the work to the authors and not to the Reserve Bank of Australia.

The contents of this publication shall not be reproduced, sold or distributed without the prior consent of the Reserve Bank of Australia.

We are most grateful to Adam Cagliarini, Richard Dennis, Mariano Kulish, Adrian Pagan, Bruce Preston, Giorgio Primiceri, Tim Robinson, Penelope Smith and to seminar participants at the recent Australasian Macroeconomics Workshop, the Workshop on Macroeconomic Dynamics and the Australian Conference of Economists for many useful comments and suggestions. We are also grateful to James Bishop and Hao Wang for assistance with the collection of data.