World Bank2014-06-052014-06-052010-03-31https://hdl.handle.net/10986/18503Diversification is important to sustainable economic growth and economic development in an oil-dependent country like Ecuador because it allows the country to be less vulnerable to external shocks. An analysis of diversification in the Ecuadorian economy is needed at this time because (a) the growth has been sluggish despite favorable terms of trade in recent years, and (b) external and fiscal balances are highly vulnerable to shocks in oil prices. This study focuses on the general concept of diversification, including diversification of public revenues, trading partners, and production. It seeks to understand the linkages between the oil and non-oil sectors and offer recommendations on how Ecuador could frame public policy to achieve diversification.en-USCC BY 3.0 IGOACCESS ROADSADVERSE EFFECTSAGRICULTUREAPPROACHAVAILABILITYBALANCEBANK LOANSBANKRUPTCYBARRELS PER DAYBUSINESS CLIMATEBUSINESS REGULATIONCARTELCDFCENTRAL BANKCIVIL WARSCOMMODITIESCOMMODITYCOMMODITY EXPORTSCOMMODITY PRICECOMMODITY PRICESCOMMUNICATIONS INFRASTRUCTURECOMPARATIVE ADVANTAGECOMPARATIVE ADVANTAGESCOMPETITIVENESSCONSUMER PRICE INDEXCRISES IN EMERGING MARKETCRUDE OILCRUDE OIL PRODUCTIONCURRENCYDEBTDEBT CRISISDEBT SERVICEDEPOSITDEVALUATIONDEVELOPING COUNTRIESDIESELDIESEL CONSUMPTIONDOLLAR VALUEECONOMETRIC ANALYSISECONOMETRIC RESULTSECONOMIC CRISISECONOMIC DEVELOPMENTECONOMIC DOWNTURNSECONOMIC GROWTHECONOMIC PERFORMANCEECONOMIC POLICIESECONOMIC SECTORSECONOMIC STUDIESECONOMIC VOLATILITYELECTRIC GENERATIONELECTRICITYELECTRICITY GENERATIONEMERGING MARKET ECONOMIESEMPLOYMENTENERGY RESOURCESENVIRONMENTALENVIRONMENTAL IMPACTENVIRONMENTAL STANDARDSEQUILIBRIUMEXCHANGE RATEEXPORT GROWTHEXPORT MARKETSEXPORT SECTORSEXPORTSEXPOSUREFARMSFINANCIAL CONSTRAINTSFINANCIAL CRISISFINANCIAL SECTORFINANCIAL SECTORSFINANCIAL SERVICESFINANCIAL SYSTEMFISCAL POLICIESFISCAL POLICYFISHFISHINGFOOD PRICESFOREIGN COMPANIESFOREIGN DEBTFOREIGN DIRECT INVESTMENTFOREIGN FIRMSFOREIGN INVESTMENTFORESTRYFREE TRADEFREE TRADE AGREEMENTFREE TRADE AGREEMENTSFUELFUEL PRICEFUEL PRICESFUTURE GROWTHGASOLINEGDPGDP PER CAPITAGENERATION OF ELECTRICITYGROSS DOMESTIC PRODUCTGROWTH POTENTIALGROWTH RATEHEAVY OILHIGHER OIL PRICESINCOMEINCOME GROUPSINCREASING RETURNSINDUSTRIAL SECTORINFLATIONINFRASTRUCTURE PROJECTSINPUT USEINSURANCEINTERMEDIATE GOODSINTERNATIONAL MARKETINTERNATIONAL MARKETSINTERNATIONAL OIL PRICESINTERNATIONAL TRADEINVESTMENT POLICIESJOB CREATIONJOINT VENTURELIQUIDITYLUBRICANTSMACROECONOMIC MANAGEMENTMACROECONOMIC POLICIESMACROECONOMIC POLICYMARKET CONDITIONSMARKET ECONOMIESMARKET PRICESMILLION BARRELSMINERALMINERAL RESERVESMINESMONETARY POLICYNATIONAL CURRENCYNATURAL DISASTERSNATURAL GASNATURAL RESOURCENATURAL RESOURCESNET OILOILOIL COMPANIESOIL COMPANYOIL EXPLORATIONOIL EXPORT REVENUESOIL EXPORTEROIL EXPORTSOIL EXTRACTIONOIL FIELDSOIL FUELSOIL INDUSTRYOIL MARKETOIL OUTPUTOIL PIPELINEOIL PIPELINESOIL PRICEOIL PRICE FLUCTUATIONSOIL PRICESOIL PRODUCTIONOIL RECOVERYOIL REFINERYOIL REFININGOIL RESERVESOIL RESOURCESOIL REVENUESOIL SECTOROIL WELLSOIL-PRODUCING COUNTRIESOILSOPECOPEC COUNTRIESOPEN ECONOMYOUTPUTSPETROLEUMPETROLEUM PRODUCTSPETROLEUM SECTORPIPELINEPIPESPOLITICAL ECONOMYPOLITICAL STABILITYPOWERPRICE FLUCTUATIONSPRICE RISKPRICE SUBSIDIESPRIVATE CONSUMPTIONPRIVATE CONTRACTORSPRIVATE INVESTMENTPRIVATE SECTORPRIVATIZATIONPRODUCTION COSTSPROFIT MARGINPUBLIC DEBTPUBLIC EXPENDITURESPUBLIC POLICYPUBLIC UTILITIESRAPID GROWTHREAL ESTATEREAL GDPREAL GROWTH RATEREAL GROWTH RATESREFINERIESREFINERY OPERATIONSREGULATORY ENVIRONMENTREGULATORY REGIMERENT SEEKINGRENT SEEKING BEHAVIORSAVINGSSOCIAL DEVELOPMENTSUSTAINABLE ECONOMIC GROWTHSUSTAINABLE GROWTHTAXTAX EXEMPTIONSTERMS OF TRADETRADE DIVERSIONTRADE LIBERALIZATIONTRADE NEGOTIATIONSTRADE POLICYTRANSPARENCYTURNOVERSTYPES OF CONTRACTSVALUE ADDEDVOLATILITYWAGESWEAK CORPORATE GOVERNANCEWEALTHWORLD DEVELOPMENT INDICATORSWORLD OIL PRICES10.1596/18503