07947oam 22015494 450 991096060290332120250426110701.09781475587128147558712097814755215281475521529(CKB)2670000000278866(EBL)1606931(SSID)ssj0000941772(PQKBManifestationID)11585684(PQKBTitleCode)TC0000941772(PQKBWorkID)10971663(PQKB)11443078(Au-PeEL)EBL1606931(CaPaEBR)ebr10627087(OCoLC)870244991(IMF)WPIEE2012200(IMF)WPIEA2012200(MiAaPQ)EBC1606931WPIEA2012200(EXLCZ)99267000000027886620020129d2012 uf 0engurcn|||||||||txtccrResource Windfalls, Optimal Public Investment and Redistribution : The Role of Total Factor Productivity and Administrative Capacity /Alan Gelb, Arnaud Dupuy, Rabah Arezki1st ed.Washington, D.C. :International Monetary Fund,2012.1 online resource (35 p.)IMF Working PapersDescription based upon print version of record.9781475591064 1475591063 9781475505504 1475505507 Includes bibliographical references.Cover; Contents; I. Introduction; II. Existing Theoretical Frameworks; III. A Simple Model of Public Investment; A. Model Set-up; B. Discussion of Results; IV. An Extension of The Model with Endogenous Investment in Administrative Capacity; V. Policy implications; References; Appendixes; Appendix 1: Parametric Specification; Appendix 2: Parametric Specification of the Extended Model; Figures; Figure 1. Share of Natural Capital around the World; Figure 2. Public Management Index by Sub-Groups; Figure 3. Investor Protection Index; Figure 4. Non-Resource Sector Total Factor ProductivityFigure 5. Public Investment Management Index and Non-resource Sector Total Factor Figure 6. Resource Windfall, Consumption and Foreign Debt under the Permanent; Figure 7. Evolution of Wages, Resource Windfalls and Sovereign Debt; Figure 8. Evolution of the Stock of Public Capital under Different Scenarios; Figure 9. Evolution of Wages under Different Scenarios; Figure 10. Evolution of Private Consumption under Different Scenarios; Figure 11. Evolution of the Stock of Public Capital under Different Scenarios; Figure 12. Evolution of the Stock of Private Capital under Different ScenariosFigure 13. Private Consumption under Different ScenariosThis paper studies the optimal public investment decisions in countries experiencing a resource windfall. To do so, we use an augmented version of the Permanent Income framework with public investment faced with adjustment costs capturing the associated administrative capacity as well as government direct transfers. A key assumption is that those adjustment costs rise with the size of the resource windfall. The main results from the analytical model are threefold. First, a larger resource windfall commands a lower level of public capital but a higher level of redistribution through transfers. Second, weaker administrative capacity lowers the increase in optimal public capital following a resource windfall. Third, higher total factor productivity in the non-resource sector reduces the degree of des-investment in public capital commanded by weaker administrative capacity. We further extend our basic model to allow for "investing in investing" - that is public investment in administrative capacity - by endogenizing the adjustment cost in public investment. Results from the numerical simulations suggest, among other things, that a higher initial stock of public administrative "know how" leads to a higher level of optimal public investment following a resource windfall. Implications for policy are discussed.IMF Working Papers; Working Paper ;No. 2012/200Factors of productionEconometric modelsRate of returnAgricultural and Natural Resource EconomicsimfCapacityimfCapital and Total Factor ProductivityimfCostimfEfficiencyimfEnvironmentimfEnvironmental and Ecological Economics: GeneralimfEnvironmental managementimfExpenditureimfFinancial institutionsimfFinancial InstrumentsimfIndustrial productivityimfInstitutional InvestorsimfInternational Lending and Debt ProblemsimfInvestment & securitiesimfInvestments: StocksimfMacroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook: GeneralimfMacroeconomicsimfNational Government Expenditures and Related Policies: InfrastructuresimfNatural ResourcesimfNatural resourcesimfNon-bank Financial InstitutionsimfOptimal TaxationimfOther Public Investment and Capital StockimfPension FundsimfProduction and Operations ManagementimfProductionimfPublic finance & taxationimfPublic FinanceimfPublic investment and public-private partnerships (PPP)imfPublic investment spendingimfPublic investmentsimfPublic-private sector cooperationimfStocksimfTotal factor productivityimfUnited StatesimfFactors of productionEconometric models.Rate of return.Agricultural and Natural Resource EconomicsCapacityCapital and Total Factor ProductivityCostEfficiencyEnvironmentEnvironmental and Ecological Economics: GeneralEnvironmental managementExpenditureFinancial institutionsFinancial InstrumentsIndustrial productivityInstitutional InvestorsInternational Lending and Debt ProblemsInvestment & securitiesInvestments: StocksMacroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook: GeneralMacroeconomicsNational Government Expenditures and Related Policies: InfrastructuresNatural ResourcesNatural resourcesNon-bank Financial InstitutionsOptimal TaxationOther Public Investment and Capital StockPension FundsProduction and Operations ManagementProductionPublic finance & taxationPublic FinancePublic investment and public-private partnerships (PPP)Public investment spendingPublic investmentsPublic-private sector cooperationStocksTotal factor productivity324.401Gelb Alan1816165Arezki Rabah1805364Dupuy Arnaud1816166DcWaIMFBOOK9910960602903321Resource Windfalls, Optimal Public Investment and Redistribution4371909UNINA