Publications: Papers

Alternative Eurozone Bailout: Why the World's Energy Exporters Should Be Coming to the Rescue (The International Economy, Winter 2012)


Countries that rely on hydrocarbons for part of their export earnings -- such as OPEC members, Russia, Australia, and Canada -- earned more than $1.5 trillion from such sales in 2011. These incomes may be halved in 2012 and 2013. In fact, exporting nations could earn less than $500 billion collectively in 2012. The threat to their short-term income comes from Europe's dire financial situation. Energy-exporting countries have greater financial exposure to this than any other nation. The exporters could, Dr. Verleger writes, work together to help prevent the region's economic collapse. What's more, they could probably pull off this this deus ex machina with relatively little risk to themselves.


(Note: This paper is available on request.)