This paper offers a discussion about the macroeconomics of exhaustible resources. In a resource-based economy, long-term sustainability is an obvious issue. This paper outlines some ideas on how to treat issues related to exhaustible resources in a macroeconomic context. Based on a small dynamic...

This paper examines the recent banking crises in Finland, Norway and Sweden in an attempt to draw some policy conclusions from their experiences. In all three countries, the timing of deregulation coincided with a strongly expansionary macroeconomic momentum. Delayed policy responses, as well as...

This Selected Issues paper examines the role of the State Petroleum Fund in Norwegian economic policy, as a means to promote a sustainable long-term fiscal position and to help maintain the competitiveness of the non-oil (“mainland”) economy in the face of high oil export revenues. The paper...

This Selected Issues paper reviews the main elements of the National Insurance Scheme (NIS) and the Family Allowance Scheme (FAS) in Norway and provides projections of future pension expenditures. All persons residing or working in Norway are insured under the NIS, and the system is financed on...

The credibility of the exchange rate bands in the Nordic countries during 1987-91 is examined with two tests. The results suggest that the credibility of Finland’s exchange rate band within a twelve-month horizon could not be rejected except in the fall of 1991; however, the band lacked...

This Selected Issues paper analyzes core and idiosyncratic inflation in Norway. The paper provides estimates of underlying inflation, using a statistical technique to decompose inflation and a measure of core inflation into “common” and “idiosyncratic” components. It finds that overall...

This Selected Issues paper analyzes inflation in Norway with a view to shedding light on this surprising development and the possible near-term course of inflation, using statistical and econometric analyses. The paper reviews recent developments of monetary policy and inflation in Norway,...

This 2007 Article IV Consultation highlights that the Norwegian economy is set to grow strongly in 2007 for the fourth consecutive year. This economic performance is underpinned by strong monetary and fiscal policy frameworks. External demand, both for petroleum products and other Norwegian...