Even stainless-steel can rust, and I've seen axes and saws that were visibly rusted. I've been told that wrapping the metal parts of the tools in oiled paper will prevent this.
Can oil really be used to prevent rust creation? And is there a difference between types?
From a chemical point of view, I would say it makes sense: The oil and paper wrapping could prevent the access to oxygen and thus prevent oxidation. But I would imagine vegetable oil is vastly different from types meant for engine greasing.