|Generate QR code
Open Access
Subscription Access
Economics of Development Based on Commodity Revenues
https://doi.org/10.32609/0042-8736-2010-3-4-23
Abstract
Commodity resources offer vast opportunities for development. In the long run, however, the performance of commodity-rich countries tends to fall short of expectations, as commodity rents induce macroeconomic volatility and undermine incentives to improve institutions. The paper looks at the strategies that countries can adopt to avoid the "resource trap". These strategies aim at diversifying the economy, promoting financial development, building up stabilization buffers that lower macroeconomic volatility, and reducing inequality. The resource-rich transition countries have embraced these strategies to varying degrees, and with varying success. Improving institutions remains the key challenge.
About the Authors
S. Guriev
New Economic School (NES)
Russian Federation
Russian Federation
A. Plekhanov
European Bank for Reconstruction and Development (EBRD)
United Kingdom
United Kingdom
K. Sonin
Northwestern University; New Economic School (NES)
United States
United States
References
1. Гуриев С. М., Колотилин А. Д., Сонин К. И. Цены на нефть и риск национализации: о чем говорят панельные данные? // Экономический журнал ВШЭ. 2008. Т. 12, № 2.
2. Гуриев С., Сонин К. Экономика «ресурсного проклятия» // Вопросы экономики. 2008. № 4. С. 61-74.
3. Полтерович В., Попов В., Тонис А. Механизмы «ресурсного проклятия» и экономическая политика // Вопросы экономики. 2007. № 6. С. 4-27.
4. Сонин К. Институциональная теория бесконечного передела // Вопросы экономики. 2005. № 7. С. 4-18.
5. Acemoglu D., Robinson J., Verdier T. The Kleptocracy and Divide-and-Rule: A Model of Personal Rule // Journal of the European Economic Association. 2004. Vol. 2, No 2-3. P. 162-192.
6. Aghion P., Bacchetta P., Ranciere R., Rogoff K. Exchange Rate Volatility and Productivity Growth: The Role of Financial Development // CEPR Discussion Paper No 5629. 2006.
7. Aghion P., Quesada L. Petroleum Contracts: What Does Contract Theory Tell Us? // Populism and Natural Resources / W. Hogan, F. Sturzenegger (eds.). Cambridge, MA: MIT Press, 2009.
8. Amin M., Djankov S. Natural Resources and Reforms // World Bank Policy Research Working Paper No 4882. 2009.
9. Auty R. Resource Abundance and Economic Development. Oxford University Press, 2001.
10. Auty R. Sustaining Development in Mineral Economies: The Resource Curse Thesis. L.: Routledge, 1993.
11. Berglof E., Korniyenko Y., Plekhanov A., Zettelmeyer J. Understanding the Crisis in Emerging Europe // EBRD Working Paper No 109. 2009.
12. Blanchard O., Lopez-de-Silanes F., Shleifer A. What Do Firms Do with Cash Windfalls? // Journal of Financial Economics. 1994. Vol. 36, No 3. P. 337-360.
13. Corden M., Neary J. Booming Sector and De-industrialisation in a Small Open Economy // Economic Journal. 1982. Vol. 92, No 368. P. 825-848.
14. EBRD. Transition Report 2008.
15. Egorov G., Guriev S., Sonin K. Why Resource-poor Dictators Allow Freer Media // American Political Science Review. 2009. Vol. 103, No 4. P. 645-668.
16. Gylfason T. Natural Resources, Education, and Economic Development // European Economic Review. 2001. Vol. 45, No 4-6. P. 847-859.
17. Hausmann R., Hwang J., Rodrik D. What You Export Matters // Journal of Economic Growth. 2007. Vol. 12, No 1. P. 1-25.
18. Hausmann R., Klinger B. The Structure of the Product Space and Comparative Advantage // Harvard University CID Working Paper No 146. 2007.
19. IMF. World Economic Outlook 2009.
20. Krugman P. The Narrow Moving Band, the Dutch Disease, and the Competitive Consequences of Mrs. Thatcher: Notes on Trade in the Presence of Dynamic Scale Economies // Journal of Development Economics. 1987. Vol. 27, No 1-2. P. 41-55.
21. Mehlum H., Moene K., Torvik R. Institutions and the Resource Curse // Economic Journal. 2006. Vol. 116, No 508.
22. Murphy K., Shleifer A., Vishny R. Industrialization and the Big Push // Journal of Political Economy. 1989. Vol. 97, No 5. P. 1003-1026.
23. Persson T., Tabellini G. Political Economics. Cambridge, MA: MIT Press, 2000.
24. Rajan R., Zingales L. Financial Dependence and Growth // American Economic Review. 1998. Vol. 88, No 3. P. 559-586.
25. Rosenstein-Rodan P. Problems of Industrialization of Eastern and South-Eastern Europe // Economic Journal. 1943. Vol. 53, No 3. P. 202-211.
26. Ross M. A Closer Look at Oil, Diamonds, and Civil War // Annual Review of Political Science. 2006. Vol. 9. P. 265-300.
27. Ross M. Does Oil Hinder Democracy? // World Politics. 2001. Vol. 53, No 3. P. 325-361.
28. Ross M. How Mineral-rich States Can Reduce Inequality // Escaping the Resource Curse / M. Humphreys, J. Sachs, J. Stiglitz (eds.). Columbia University Press, 2007.
29. Sachs J., Warner A. Fundamental Sources of Long-run Growth // American Economic Review. 1997. Vol. 87, No 2. P. 184-188.
30. Sonin K. Why the Rich May Favour Poor Protection of Property Rights // Journal of Comparative Economics. 2003. Vol. 31, No 4. P. 715-731.
31. Stijns J. Natural Resource Abundance and Human Capital Accumulation // World Development. 2006. Vol. 34, No 6. P. 1060-1083.
32. Suslova E., Volchkova N. Human Capital, Industrial Growth and Resource Curse // New Economic School Working Paper No 13. 2007.
33. Tornell A., Lane P. The Voracity Effect // American Economic Review. 1999. Vol. 89, No 1. P. 22-46.
Review
For citations:
Guriev S., Plekhanov A., Sonin K. Economics of Development Based on Commodity Revenues. Voprosy Ekonomiki. 2010;(3):4-23. (In Russ.) https://doi.org/10.32609/0042-8736-2010-3-4-23
Views:
1280
Email this article 
