IMF Working Papers

Energy, the Exchange Rate, and the Economy: Macroeconomic Benefits of Canada’s Oil Sands Production

By Tamim Bayoumi, Martin Mühleisen

March 1, 2006

Download PDF More Formats on IMF eLibrary Order a Print Copy
More formats on IMF eLibrary Order a Print Copy

Preview Citation

Format: Chicago

Tamim Bayoumi, and Martin Mühleisen. "Energy, the Exchange Rate, and the Economy: Macroeconomic Benefits of Canada’s Oil Sands Production", IMF Working Papers 2006, 070 (2006), accessed April 24, 2025, https://doi.org/10.5089/9781451863307.001

Export Citation

  • ProCite
  • RefWorks
  • Reference Manager
  • BibTex
  • Zotero
  • EndNote
Disclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate

Summary

This paper describes potential benefits from Canada's expanding oil sands production, higher energy exports, and further improvements in the terms of trade. Contrary to the previous Canadian exchange rate literature, this paper finds that both energy and nonenergy commodity prices have an influence on the Canadian dollar, and some upward pressure on the exchange rate would therefore be expected. Model results suggest, however, that the impact on other tradable goods exports is limited.

Subject: Commodity prices, Exchange rates, Exports, Oil, Oil production

Keywords: Commodity, Exchange rate, Export, WP

Publication Details

You May Also Be Interested In...

Estimating Potential Output in Niger: Niger

April 18, 2025

Foreign Exchange Intervention Through the Lens of the Quantitative Integrated Policy Framework: The Case of Albania

April 16, 2025

Suriname: Ninth Review Under the Extended Arrangement Under the Extended Fund Facility, Request for a Waiver of Nonobservance of Performance Criterion, and Financing Assurances Review-Press Release; Staff Report; and Statement by the Executive Director for Suriname

April 15, 2025

How to Modernize Customs Procedures to Successfully Implement the African Continental Free Trade Area

April 11, 2025