Conclusion

2017 ◽  
Author(s):  
Jonathon W. Moses ◽  
Bjørn Letnes
Keyword(s):  
Natural Resources ◽  
Resource Curse ◽  
Specific Model ◽  
Dutch Disease ◽  
Political Conditions

There is broad recognition that Norway manages its natural resources successfully. Policymakers are flocking to Norway to try to learn the lessons provided by the Norwegian model. This book describes the main challenges facing policymakers in resource-rich states (e.g., Dutch Disease, Resource Curse, Paradox of Plenty), and the sort of institutional solutions and policies that are available to them. We explain why the Norwegian authorities chose the solutions they did, and how these choices have changed over the years, in response to changing market and political conditions. The result is a book that offers insight and understanding as to why the country made the choices it did, rather than providing a specific model for export.

scholarly journals Is the Resource Curse Thesis Affect Only Least Developed Countries? Examples from Resource-Rich Developed Countries

2021 ◽  
Author(s):  
Harun Bal ◽  
Berk Palandökenlier
Keyword(s):  
Natural Resources ◽  
Resource Curse ◽  
Economic Recession ◽  
Developed Countries ◽  
The United States ◽  
Dutch Disease ◽  
Least Developed Countries ◽  
Negative Effects ◽  
Developed Country ◽  
Indirect Transmission

Whether the Dutch Disease thesis, which is one of the best-known economic explanations on this subject, which puts forward the thesis that countries rich in natural resources can have negative effects on long-term economic growth, directly or indirectly, depending on the way they are used, is valid or not. tried to be demonstrated. The Dutch disease thesis is one of the main explanations for resource misfortune, emphasizing the negative effects of resource abundance on the national economy in countries with rich resource endowments and pointing to a paradox that economic conditions will be better in countries that do not have relatively little (or scarce) natural resources. is happening. Therefore, in our study, it is aimed to investigate whether resource richness causes an economic recession or not, especially for developed countries by considering indirect transmission channels. In this context, 11 developed countries such as Netherlands, Norway, Ireland, Germany, New Zealand, the United States of America, Canada, Australia, Poland, the United Kingdom, and Denmark, between 1990 and 2019, are based on the experiences of developed countries, which are especially rich in different sources of Dutch Disease syndrome. The country has been researched with static and dynamic panel analysis methods. As a result of the estimation, findings were found that the Dutch Disease was partially valid in terms of developed country samples throughout the sample period considered.

scholarly journals Natural Resources and Socio-Economic Progress

2014 ◽  
pp. 168-186
Author(s):  
L. M. Kapitsa
Keyword(s):  
Natural Resources ◽  
Resource Curse ◽  
Dutch Disease ◽  
Economic Diversification ◽  
New Approaches ◽  
Economic Progress ◽  
Rich Countries ◽  
Disease Specific

The article reviews international debates on development problems of the resource-based economies. It draws atten tion to causes and mechanisms of the so-called "resource curse" and symptoms of systemic breakdowns and stagnant phenomena in resource-based economies named "Dutch disease". Specific attention is given to the role of national elites and institutions in the emergence of "Dutch disease", preservation of economic backwardness and/or de-industrialization of resource-rich countries. The author also considers new approaches to resolving the problem of'resource-curse", in particular, return to traditional instruments of economic diversification as industrialization and protectionism.

Natural Resources, Energy Dependency, and their Association with Institutional and Growth-Related Variables in the Black Sea and Southeastern European Region

2019 ◽  
Vol 65 (1) ◽  
pp. 2-43
Author(s):  
Sotirios K. Bellos
Keyword(s):  
Natural Resources ◽  
Black Sea ◽  
Positive Impact ◽  
Resource Curse ◽  
Dutch Disease ◽  
The Black Sea ◽  
Empirical Results ◽  
Energy Dependency ◽  
Growth Energy ◽  
Sea Area

Abstract This paper focuses on the Southeastern European and Black Sea Countries and examines the association between natural resources abundance, energy dependency, and a series of growth-related and institutional variables during a thirty-year period (1985–2015). The empirical results show a positive impact of natural resource abundance on the majority of the examined variables, which does not support the resource curse hypothesis. Common sector characteristics of the examined economies verify the empirical results. JEL classifications: Q20, Q30, Q32, Q43 Black Sea Area, Dutch disease, Economic Growth, Energy Dependency, Natural Resources, Transition Economies

scholarly journals Does Human Capital Mitigate Resource Curse? Evidence in the Short- and Long-Run

2021 ◽  
Vol 13 (10) ◽  
pp. 157
Author(s):  
Ibrahima Coulibaly ◽  
Jebaraj Asirvatham
Keyword(s):  
Human Capital ◽  
Natural Resources ◽  
Positive Impact ◽  
Resource Curse ◽  
Dutch Disease ◽  
Model Framework ◽  
Distributed Lag ◽  
Long Run ◽  
Show Evidence

This paper examines the short-term and long-term relationships among natural resources, human capital, and growth in Mali in an Autoregressive Distributed Lag-Error Correction Model framework. In the presence of natural resources, we find that human capital has a positive impact on growth over time. Results show a long-term, stable and positive relationship between economic growth, natural resources, and human capital. Furthermore, the results do not show evidence of Dutch disease or the presence of any natural resource curse in Mali.

scholarly journals “RESOURCE CURSE” AS A CHALLENGE FOR SUSTAINABLE DEVELOPMENT IN RUSSIA

2020 ◽  
Vol 6 (4) ◽  
pp. 55-62
Author(s):  
Zhan Zhang ◽  
Keyword(s):  
Sustainable Development ◽  
Economic Development ◽  
Natural Resources ◽  
Resource Dependence ◽  
Resource Curse ◽  
Mineral Resources ◽  
Political Stability ◽  
Dutch Disease ◽  
Energy Sources ◽  
New Energy

The term “resource curse” refers to the socio-economic problems associated with mineral resources. There is a perception that rich natural resources can be a “curse” rather than a blessing for economic development, and most countries with rich natural resources grow more slowly than countries with scarce resources. The author aims to identify the main causes of the “resource curse” phenomenon as one of the challenges for sustainable development in Russia. The following tasks are set: to analyze the origin of the “resource curse” concept, to study the analysis of Chinese, Russian, and Western researchers about the “resource curse”, to determine the conditions for this phenomenon. Special attention is paid to solving the problem of resource dependence at the regional and state levels, as well as involving cooperation at the global level on the basis of justice, equality and mutual benefit. It is noted that to get out of the “resource trap” you need not only to overcome the traditional “Dutch disease”, but also need to avoid the “American syndrome”. It was concluded that the “resource curse” can be considered as a variety of comparative advantage trap. With the development of new energy sources, countries with rich traditional energy sources face more severe challenges. Their resolution requires comprehensive reform and the creation of new growth pole for sustainable socio-economic development (which is based on political stability), on the other hand, it is necessary to avoid excessive “financialization” of the market economy.

Popular Resource Sovereignty

2018 ◽  
Author(s):  
Leif Wenar
Keyword(s):  
Human Rights ◽  
Natural Resources ◽  
Large Scale ◽  
Good Reason ◽  
Resource Curse ◽  
Civil Conflict ◽  
Popular Sovereignty ◽  
State Sovereignty ◽  
The People ◽  
Rich Countries

Article 1 of both of the major human rights covenants declares that the people of each country “shall freely dispose of their natural wealth and resources.” This chapter considers what conditions would have to hold for the people of a country to exercise this right—and why public accountability over natural resources is the only realistic solution to the “resource curse,” which makes resource-rich countries more prone to authoritarianism, civil conflict, and large-scale corruption. It also discusses why cosmopolitans, who have often been highly critical of prerogatives of state sovereignty, have good reason to endorse popular sovereignty over natural resources. Those who hope for more cosmopolitan institutions should see strengthening popular resource sovereignty as the most responsible path to achieving their own goals.

Australia—The Hidden Jewel

2018 ◽  
Author(s):  
Mahesh K. Joshi ◽  
J.R. Klein
Keyword(s):  
Natural Resources ◽  
Value Chain ◽  
Global Economy ◽  
Good Governance ◽  
Developing Economies ◽  
Raw Materials ◽  
Manufacturing Sector ◽  
Developed Countries ◽  
The United States ◽  
Dutch Disease

The twenty-first century is being touted as the Asian century. With its stable economy, good governance, education system, and above all the abundant natural resources, will Australia to take its place in the global economy by becoming more entrepreneurial and accelerating its rate of growth, or will it get infected with the so-called Dutch disease? It has been successful in managing trade ties with fast-developing economies like China and India as well as developed countries like the United States. It has participated in the growth of China by providing iron ore and coal. Because it is a low-risk country, it has enabled inflow of large foreign capital investments. A lot will depend on its capability and willingness to invest the capital available in entrepreneurial ventures, its ability to capture the full value chain of natural resources, and to export the finished products instead of raw materials, while building a robust manufacturing sector.

scholarly journals Improving Relations between a State and a Business Enterprise in the Context of Counteracting Adverse Effects of the Resource Curse

2021 ◽  
Vol 13 (3) ◽  
pp. 1067
Author(s):  
Marek Szturo ◽  
Bogdan Włodarczyk ◽  
Alberto Burchi ◽  
Ireneusz Miciuła ◽  
Karolina Szturo
Keyword(s):  
Economic Policy ◽  
Natural Resources ◽  
Resource Sharing ◽  
Global Economy ◽  
Empirical Studies ◽  
Relevant Literature ◽  
Resource Curse ◽  
Mineral Resources ◽  
Strategic Resources ◽  
Key Resources

Natural resources play a significant role in the development of the global economy. This refers, in particular, to strategic fuel and mineral resources. Due to the limited supply of natural resources and the lack of substitutes for most of the key resources in the world, the competition for the access to strategic resources is a feature of the global economy. It would seem that the countries which are rich in resources, because of this huge demand, enjoy spectacular economic prosperity. However, the results of empirical studies have demonstrated what is known as the ‘resource curse’. This article concentrates on the characteristics of the paradox of plenty, and in particular on the possibilities of preventing this phenomenon. The aim of this article is to identify the measures of economic policy with which to counteract the resource curse, based on the relationship between the state and the extraction business. Upon the critical analysis of the relevant literature, we concluded that the state’s economic policy, implemented in cooperation with the extraction business, is increasingly important for the prevention of the resource curse. In the context of the resource curse, the optimal and most consensual instrument, in comparison with other resource sharing agreements, is a production sharing agreement (PSA), which should also be adjusted to the current local economic conditions in a given country.

The “Resource Curse”: Lessons of the Third World

2015 ◽  
pp. 28-39
Author(s):  
V. Shmat
Keyword(s):  
Economic Growth ◽  
Natural Resources ◽  
Third World ◽  
Raw Materials ◽  
Resource Curse ◽  
The Third ◽  
National Institutions ◽  
Resource Nationalism ◽  
The Third World ◽  
First World

According to the hypothesis known as the “resource curse”, natural resources abundance is a brake on economic growth of many Third World countries. But is it really so? The author believes there are deeper reasons why the Third World in general – regardless of the amount of raw material resources available in each country – cannot achieve the same level of welfare as the First World. The “resource curse” theory looks for the origins of the resourceful countries’ economic problems in the institutional sphere. But this seems misleading because of excessively narrow “here and now” approach. The economic and socio-political institutions of individual countries are regarded in short periods of time when “curse” declared itself. Its typical manifestations, such as rent-seeking, stagnation or degradation of the institutions, authoritarian power, snowballing public debt and symptoms of Dutch disease, were seen in many Third World countries long before the development of the major sources of raw materials and regardless of the availability or absence of them. Therefore, it seems appropriate to speak of a kind of “three-fold institutional curse” as an explanation of continuing underdevelopment of many countries and territories. Poor national institutions in the Third World countries are not actually caused by the presence or absence of concentrated natural resources. This is the result of prior historical development with series of discrete transitions from one condition to another: from colonial status – to independent statehood; from poverty – to unexpected wealth mostly based on the exploitation of the natural resources. Qualitative transformation of national institutions usually lags far behind. As a consequence, institutional development enters into a state of stagnation (inhibiting or destabilizing economic growth) that can stretch for very long periods of time. The author concludes that the presence or absence of resources, in fact, has no fundamental impact on the nature of socio-economic development of Third World countries. The major reason hindering institutional progress has external nature, that is heavy economic dependence on the First World (coupled with informal political subordination). This circumstance begets the “resource nationalism” by the developing countries – exporters of raw materials and fuel. History of “resource nationalism” provides a useful lesson for Russia whose economy is features by growing dependency on resources. Acknowledgement. The article has been supported by a grant of the Russian Science Foundation. Project № 14-18-02345.

Unmaking Black Political Subjects

2016 ◽  
Author(s):  
Tianna S. Paschel
Keyword(s):  
Middle Class ◽  
Natural Resources ◽  
The State ◽  
The Political ◽  
Political Conditions ◽  
Dominant Classes

This chapter examines the extent to which Brazilian and Colombian states have implemented ethno-racial reforms and explores the ways in which these policies have changed these societies. It pays special attention to the political conditions that shape these states' decisions to make good on their promises or not. More specifically, it shows how implementation has depended heavily on the ways in which activists navigate their domestic political fields, including how they negotiate their newly gained access to the state. It is also profoundly shaped by the emergence of reactionary movements. Indeed, as the dominant classes became increasingly aware of what was at stake with these rights and policies—land, natural resources, seats in congress, and university slots that could maintain or secure one's place within the middle class—they sought to dismantle them, sometimes through violent means.

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