Fiscal Policy and Natural Resource Entitlements

Impact and Benefit Agreement (IBA) Revenue Allocation Strategies for Indigenous Community Development

“…Diff erent operational defi nitions exist such as lump sum payments, conditional cash transfers, and dividends (see Segal 2012b for an in-depth discussion of DDM). This system is likely the simplest allocation model and presents the potential to reduce social and revenue inequalities, poverty-especially extreme poverty-and could provide greater social and income security to the most vulnerable (Gupta et al 2014;Standing 2008;Standing 2014;DFID 2011;Segal 2011Segal , 2012bGibson and O'Faircheallaigh 2010;O'Faircheallaigh 2010O'Faircheallaigh , 2012Moss 2010;Soares et al 2007;Schubert and Huijbregts 2006;Morley and Coady 2003;Bunting and Truelove 1970). Moreover, the DDM provides benefi ciaries with the freedom to decide how to spend the money, may it be for urgent needs or long-term investments (O'Faircheallaigh 2010(O'Faircheallaigh , 2012Moss 2010;Gibson and O'Faircheallaigh 2010;Weinthal and Jones Luong 2006;Palley 2003).…”

The selected problems of economic development of Mexico at the begining of the twenty-first century

“…The economy of Mexico strongly depends on oil, which constitutes one-third of the government's revenues. In 2008, when oil prices were the highest, the revenues increased to 41% of total budget revenues, which accounted for about 10.5% of the country's GDP [Segal 2012]. Owing to oil Mexico has a balanced budget situation, but the problem is that in a situation of a permanent reduction of oil prices, the Mexican government has no alternative source of revenue.…”

“…The budget deficit and public debt are maintained at a fixed low level. In the years 2001-2010 the budget deficit was on average 1.75% of the GDP, while public debt 42.09% of the GDP [Segal 2012 ]. This is a good result compared to other OECD countries.…”