The Fall in Gas Exports, International Reserves and Economic Growth in Bolivia

Cesar Daniel Vargas Diaz; Hernan Delgadillo Dorado; Eloy Wilson Villca Copali

doi:doi:10.11648/j.ijeee.20230804.13

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The Fall in Gas Exports, International Reserves and Economic Growth in Bolivia

Cesar Daniel Vargas Diaz, Hernan Delgadillo Dorado, Eloy Wilson Villca Copali

Published in International Journal of Economy, Energy and Environment (Volume 8, Issue 4)

Received: 31 May 2023 Accepted: 25 June 2023 Published: 5 August 2023

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Abstract

The objective of this article is to offer an overview of the deterioration of Bolivia's economic growth, in the period 2013 to 2022, mainly of the macroeconomic variables of study such as gross domestic product, natural gas exports, net international reserves, external debt and imports of diesel and gasoline fuels. Each of these variables are dependent on the foreign currency dollars. In this understanding, the deterioration is mainly due to the fall in gas exports since 2015 that the country's gas production falls because the government on duty, allocated more investment to exploitation than to exploration, generating a decrease in foreign exchange earnings dollars to the country, failing to cover subsidies for diesel and gasoline fuels imported in dollar foreign currency. This is mainly due to the fact that half of Bolivia's GDP growth in the last 15 years is due to the sale of gas to Brazil and Argentina in foreign currency in dollars, since it does not cover the subsidies of imported fuels with gas, net international reserves are used to exhaust them at their maximum level. At the same time, the gradual increase in external debt in foreign currency dollar. The fall in gas exports and the increase in imports of diesel and gasoline fuels due to the growth of the vehicle fleet, as reflected in historical data and where we identify the four stages of inflection. In the last stage, it was characterized with a shortage of dollars and a high demand for it by citizens and the government, added to the lack of transparency in the disclosure of information of net international reserves and dependence on non-renewable resources results in a deterioration of the economic growth of the gross domestic product. In addition, Bolivia is characterized by not promoting science, knowledge, qualified human capital, research, development and technological innovation, which led to a high level of informal employment and insufficient productive sustainability in foreign currency.

Published in	International Journal of Economy, Energy and Environment (Volume 8, Issue 4)
DOI	10.11648/j.ijeee.20230804.13
Page(s)	91-98
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2024. Published by Science Publishing Group

Keywords

Net International Reserves, Gas Exports, External Debt, Gross Domestic Product, Economic Growth

References

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APA Style

Cesar Daniel Vargas Diaz, Hernan Delgadillo Dorado, Eloy Wilson Villca Copali. (2023). The Fall in Gas Exports, International Reserves and Economic Growth in Bolivia. International Journal of Economy, Energy and Environment, 8(4), 91-98. https://doi.org/10.11648/j.ijeee.20230804.13

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ACS Style

Cesar Daniel Vargas Diaz; Hernan Delgadillo Dorado; Eloy Wilson Villca Copali. The Fall in Gas Exports, International Reserves and Economic Growth in Bolivia. Int. J. Econ. Energy Environ. 2023, 8(4), 91-98. doi: 10.11648/j.ijeee.20230804.13

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AMA Style

Cesar Daniel Vargas Diaz, Hernan Delgadillo Dorado, Eloy Wilson Villca Copali. The Fall in Gas Exports, International Reserves and Economic Growth in Bolivia. Int J Econ Energy Environ. 2023;8(4):91-98. doi: 10.11648/j.ijeee.20230804.13

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@article{10.11648/j.ijeee.20230804.13,
  author = {Cesar Daniel Vargas Diaz and Hernan Delgadillo Dorado and Eloy Wilson Villca Copali},
  title = {The Fall in Gas Exports, International Reserves and Economic Growth in Bolivia},
  journal = {International Journal of Economy, Energy and Environment},
  volume = {8},
  number = {4},
  pages = {91-98},
  doi = {10.11648/j.ijeee.20230804.13},
  url = {https://doi.org/10.11648/j.ijeee.20230804.13},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijeee.20230804.13},
  abstract = {The objective of this article is to offer an overview of the deterioration of Bolivia's economic growth, in the period 2013 to 2022, mainly of the macroeconomic variables of study such as gross domestic product, natural gas exports, net international reserves, external debt and imports of diesel and gasoline fuels. Each of these variables are dependent on the foreign currency dollars. In this understanding, the deterioration is mainly due to the fall in gas exports since 2015 that the country's gas production falls because the government on duty, allocated more investment to exploitation than to exploration, generating a decrease in foreign exchange earnings dollars to the country, failing to cover subsidies for diesel and gasoline fuels imported in dollar foreign currency. This is mainly due to the fact that half of Bolivia's GDP growth in the last 15 years is due to the sale of gas to Brazil and Argentina in foreign currency in dollars, since it does not cover the subsidies of imported fuels with gas, net international reserves are used to exhaust them at their maximum level. At the same time, the gradual increase in external debt in foreign currency dollar. The fall in gas exports and the increase in imports of diesel and gasoline fuels due to the growth of the vehicle fleet, as reflected in historical data and where we identify the four stages of inflection. In the last stage, it was characterized with a shortage of dollars and a high demand for it by citizens and the government, added to the lack of transparency in the disclosure of information of net international reserves and dependence on non-renewable resources results in a deterioration of the economic growth of the gross domestic product. In addition, Bolivia is characterized by not promoting science, knowledge, qualified human capital, research, development and technological innovation, which led to a high level of informal employment and insufficient productive sustainability in foreign currency.},
 year = {2023}
}

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TY  - JOUR
T1  - The Fall in Gas Exports, International Reserves and Economic Growth in Bolivia
AU  - Cesar Daniel Vargas Diaz
AU  - Hernan Delgadillo Dorado
AU  - Eloy Wilson Villca Copali
Y1  - 2023/08/05
PY  - 2023
N1  - https://doi.org/10.11648/j.ijeee.20230804.13
DO  - 10.11648/j.ijeee.20230804.13
T2  - International Journal of Economy, Energy and Environment
JF  - International Journal of Economy, Energy and Environment
JO  - International Journal of Economy, Energy and Environment
SP  - 91
EP  - 98
PB  - Science Publishing Group
SN  - 2575-5021
UR  - https://doi.org/10.11648/j.ijeee.20230804.13
AB  - The objective of this article is to offer an overview of the deterioration of Bolivia's economic growth, in the period 2013 to 2022, mainly of the macroeconomic variables of study such as gross domestic product, natural gas exports, net international reserves, external debt and imports of diesel and gasoline fuels. Each of these variables are dependent on the foreign currency dollars. In this understanding, the deterioration is mainly due to the fall in gas exports since 2015 that the country's gas production falls because the government on duty, allocated more investment to exploitation than to exploration, generating a decrease in foreign exchange earnings dollars to the country, failing to cover subsidies for diesel and gasoline fuels imported in dollar foreign currency. This is mainly due to the fact that half of Bolivia's GDP growth in the last 15 years is due to the sale of gas to Brazil and Argentina in foreign currency in dollars, since it does not cover the subsidies of imported fuels with gas, net international reserves are used to exhaust them at their maximum level. At the same time, the gradual increase in external debt in foreign currency dollar. The fall in gas exports and the increase in imports of diesel and gasoline fuels due to the growth of the vehicle fleet, as reflected in historical data and where we identify the four stages of inflection. In the last stage, it was characterized with a shortage of dollars and a high demand for it by citizens and the government, added to the lack of transparency in the disclosure of information of net international reserves and dependence on non-renewable resources results in a deterioration of the economic growth of the gross domestic product. In addition, Bolivia is characterized by not promoting science, knowledge, qualified human capital, research, development and technological innovation, which led to a high level of informal employment and insufficient productive sustainability in foreign currency.
VL  - 8
IS  - 4
ER  -

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Author Information

Cesar Daniel Vargas Diaz

Department of International and Spanish Economics, Faculty of Economic and Business Sciences, University of Granada, Granada, Spain
Hernan Delgadillo Dorado

Department of Economics, Faculty of Economic Sciences, Universidad Mayor de San Simón, Cochabamba, Bolivia
Eloy Wilson Villca Copali

Department of Administration, Faculty of Economic Sciences, Universidad del Valle, Cochabamba, Bolivia

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APA Style

Cesar Daniel Vargas Diaz, Hernan Delgadillo Dorado, Eloy Wilson Villca Copali. (2023). The Fall in Gas Exports, International Reserves and Economic Growth in Bolivia. International Journal of Economy, Energy and Environment, 8(4), 91-98. https://doi.org/10.11648/j.ijeee.20230804.13

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ACS Style

Cesar Daniel Vargas Diaz; Hernan Delgadillo Dorado; Eloy Wilson Villca Copali. The Fall in Gas Exports, International Reserves and Economic Growth in Bolivia. Int. J. Econ. Energy Environ. 2023, 8(4), 91-98. doi: 10.11648/j.ijeee.20230804.13

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AMA Style

Cesar Daniel Vargas Diaz, Hernan Delgadillo Dorado, Eloy Wilson Villca Copali. The Fall in Gas Exports, International Reserves and Economic Growth in Bolivia. Int J Econ Energy Environ. 2023;8(4):91-98. doi: 10.11648/j.ijeee.20230804.13

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@article{10.11648/j.ijeee.20230804.13,
  author = {Cesar Daniel Vargas Diaz and Hernan Delgadillo Dorado and Eloy Wilson Villca Copali},
  title = {The Fall in Gas Exports, International Reserves and Economic Growth in Bolivia},
  journal = {International Journal of Economy, Energy and Environment},
  volume = {8},
  number = {4},
  pages = {91-98},
  doi = {10.11648/j.ijeee.20230804.13},
  url = {https://doi.org/10.11648/j.ijeee.20230804.13},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijeee.20230804.13},
  abstract = {The objective of this article is to offer an overview of the deterioration of Bolivia's economic growth, in the period 2013 to 2022, mainly of the macroeconomic variables of study such as gross domestic product, natural gas exports, net international reserves, external debt and imports of diesel and gasoline fuels. Each of these variables are dependent on the foreign currency dollars. In this understanding, the deterioration is mainly due to the fall in gas exports since 2015 that the country's gas production falls because the government on duty, allocated more investment to exploitation than to exploration, generating a decrease in foreign exchange earnings dollars to the country, failing to cover subsidies for diesel and gasoline fuels imported in dollar foreign currency. This is mainly due to the fact that half of Bolivia's GDP growth in the last 15 years is due to the sale of gas to Brazil and Argentina in foreign currency in dollars, since it does not cover the subsidies of imported fuels with gas, net international reserves are used to exhaust them at their maximum level. At the same time, the gradual increase in external debt in foreign currency dollar. The fall in gas exports and the increase in imports of diesel and gasoline fuels due to the growth of the vehicle fleet, as reflected in historical data and where we identify the four stages of inflection. In the last stage, it was characterized with a shortage of dollars and a high demand for it by citizens and the government, added to the lack of transparency in the disclosure of information of net international reserves and dependence on non-renewable resources results in a deterioration of the economic growth of the gross domestic product. In addition, Bolivia is characterized by not promoting science, knowledge, qualified human capital, research, development and technological innovation, which led to a high level of informal employment and insufficient productive sustainability in foreign currency.},
 year = {2023}
}

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TY  - JOUR
T1  - The Fall in Gas Exports, International Reserves and Economic Growth in Bolivia
AU  - Cesar Daniel Vargas Diaz
AU  - Hernan Delgadillo Dorado
AU  - Eloy Wilson Villca Copali
Y1  - 2023/08/05
PY  - 2023
N1  - https://doi.org/10.11648/j.ijeee.20230804.13
DO  - 10.11648/j.ijeee.20230804.13
T2  - International Journal of Economy, Energy and Environment
JF  - International Journal of Economy, Energy and Environment
JO  - International Journal of Economy, Energy and Environment
SP  - 91
EP  - 98
PB  - Science Publishing Group
SN  - 2575-5021
UR  - https://doi.org/10.11648/j.ijeee.20230804.13
AB  - The objective of this article is to offer an overview of the deterioration of Bolivia's economic growth, in the period 2013 to 2022, mainly of the macroeconomic variables of study such as gross domestic product, natural gas exports, net international reserves, external debt and imports of diesel and gasoline fuels. Each of these variables are dependent on the foreign currency dollars. In this understanding, the deterioration is mainly due to the fall in gas exports since 2015 that the country's gas production falls because the government on duty, allocated more investment to exploitation than to exploration, generating a decrease in foreign exchange earnings dollars to the country, failing to cover subsidies for diesel and gasoline fuels imported in dollar foreign currency. This is mainly due to the fact that half of Bolivia's GDP growth in the last 15 years is due to the sale of gas to Brazil and Argentina in foreign currency in dollars, since it does not cover the subsidies of imported fuels with gas, net international reserves are used to exhaust them at their maximum level. At the same time, the gradual increase in external debt in foreign currency dollar. The fall in gas exports and the increase in imports of diesel and gasoline fuels due to the growth of the vehicle fleet, as reflected in historical data and where we identify the four stages of inflection. In the last stage, it was characterized with a shortage of dollars and a high demand for it by citizens and the government, added to the lack of transparency in the disclosure of information of net international reserves and dependence on non-renewable resources results in a deterioration of the economic growth of the gross domestic product. In addition, Bolivia is characterized by not promoting science, knowledge, qualified human capital, research, development and technological innovation, which led to a high level of informal employment and insufficient productive sustainability in foreign currency.
VL  - 8
IS  - 4
ER  -

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