Oil exporters present higher risk of default, researcher says
Researcher says most oil-exporting countries defaulted on their debt between 1979 and 2010
Oil resources increase the likelihood of sovereign default because over time they increase the attractiveness of economic isolationism, or “autarky”, says research conducted at the Federal Reserve Bank of St Louis.
Paulina Restrepo-Echavarria has analysed the economic evolution of the top 35 oil exporters between 1979 and 2010 to find out how this resource affects them repaying their public debt.
“People think that these countries don’t hold debt, but they do. And people think that because
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