01806cas a2200253 a 4500 AALejournalIMF006661 230101c9999 xx r poo 0 0eng d 5.00 USD 9781455202133 1018-5941 BD-DhAAL BD-DhAAL Arezki, Rabah. Resource Windfalls and Emerging Market Sovereign Bond Spreads : The Role of Political Institutions / Rabah Arezki, Markus Bruckner. Washington, D.C. : International Monetary Fund, 2010. 1 online resource (11 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students We examine the effect that revenue windfalls from international commodity price shocks have on sovereign bond spreads using panel data for 30 emerging market economies during the period 1997-2007. Our main finding is that positive commodity price shocks lead to a significant reduction in the sovereign bond spread in democracies, but to a significant increase in the spread in autocracies. To explain our finding we show that, consistent with the political economy literature on the resource curse, revenue windfalls from international commodity price shocks significantly increased real per capita GDP growth in democracies, while in autocracies GDP per capita growth decreased. Mode of access: Internet Bruckner, Markus. IMF Working Papers; Working Paper ; No. 2010/179 Full text available on IMF http://elibrary.imf.org/view/journals/001/2010/179/001.2010.issue-179-en.xml IMF e-Library