"We analyze how a country's political institutions affect oil production within its borders. We find a pronounced negative relationship between political openness and volatility in oil production, with democratic regimes exhibiting less volatility than more autocratic regimes. This relationship...

A number of countries have recently discovered and are developing oil and gas reserves. Policy makers in such countries are anxious to obtain the greatest benefits for their economies from the extraction of these exhaustible resources by designing appropriate policies to achieve desired goals....

Policy options for protecting Mexico's economy from volatility in oil revenues without eliminating the benefits from rising prices include a stablilizaton fund and hedging strategies on international markets. A stabilization fund and hedging strategies can complement each other, the fund working...