The Hotelling rule argues that the price for a nonrenewable resource adjusts to the shadow value of the resource, reflecting the remaining availability of the resource. We empirically test the Hotelling rule on the effect of unanticipated oil field discoveries. We do not find evidence for a...

The fall in oil prices (-40% in June 2014) in the stock market disappears these days from the headlines. British Petroleum currently has the lowest price/earnings ratio in the industry with only a factor of 7. If we focus not only on stocks, but in speculate portfolio mix with oil, gold or...