Skip to main content Accessibility help
×
Home
  • Print publication year: 2016
  • Online publication date: July 2016

1 - Overview of Context, Issues and Summary

Summary

Abstract

Despite being blessed with immense oil resources, Arab countries have neither achieved economic prosperity nor became developed countries. This chapter provides a brief overview of issues related to understanding the origins and symptoms of the resource curse and the challenges triggered by oil dependency in the Arab World including the traditional issues related to economic diversification, Dutch Disease etc. Among the novel issues explored are the interactions between oil windfalls and weak institutions (including fiscal institutions and optimal exchange rate regimes) as well as the role of political economy factors of the impact of resource rents on the strategies of the ruling elites to fend-off potential revolts that might remove them from power.

Auty, R. M. (1993). Sustaining Development in Mineral Economies: The Resource Curse Thesis. London: Routledge.
Collier, P. (2010). The Political Economy of Natural Resources. Social Research 77(4): 11051132.
Collier, P., van der Ploeg, F., Spence, M. and Venables, A.. (2010). Managing Resource Revenues in Developing Economies. IMF Staff Papers 57(1): 84118.
Collier, P. and Goderis, B.. (2007). Commodity Prices, Growth, and the Natural Resource Curse: Reconciling a Conundrum. Economics Series Working Papers WPS, University of Oxford, Department of Economics.
Crowe, C., Dell’Ariccia, G., Igan, D. and Rabanal, P.. (2011). Policies for Macrofinancial Stability: Options to Deal with Real Estate Booms. IMF staff discussions note (SDN/11/02), International Monetary Fund, Washington DC.
Daniel, P. S. G., Mattina, T. and Segura-Ubiergo, A.. (2013). Extracting Resource Revenue. Finance and Development. Washington, D.C.: IMF.
Diop, N., Marotta, D. and de Melo, J.. (2012). Natural Resource Abundance, Growth, and Diversification in the Middle East and North Africa: The Effects of Natural Resources and the Role of Policies. Washington, D.C.: World Bank.
Elbadawi, I. and Makdisi, S.. Eds. (2011). Democracy in the Arab World: Explaining the Deficit. New York and Canada: Routledge and International Development Centre.
Galal, A. and Selim, H.. (2013). The Elusive Quest for Economic Development in the Arab Countries. Middle East Development Journal 05(01):129.
Gelb, A., Tordo, S. and Hallan, H.. (2014). Sovereign Wealth Funds and Domestic Investment in Resource-Rich Countries: Love Me, or Love Me Not? World Bank Economic Premise Note Series 133. Washington, D.C.: World Bank.
Gelb, A. and Majerowicz, S.. (2011). Oil for Uganda-or Ugandans? Can Cash Transfers Prevent the Resource Curse? Working Paper 261, Center for Global Development, Washington DC.
Gelb, A. (1988). Oil Windfalls: Blessing or Curse. New York: Oxford University Press (for the World Bank).
Hausmann, R. and Klinger, B. (2007). The Structure of the Product Space and the Evolution of Comparative Advantage. CID Working Paper No. 146, Harvard University.
Hausmann, R. and Rigobon, R.. (2003). An Alternative Interpretation of the ‘Resource Curse’: Theory and Policy Implications. NBER Working Paper 9424, Cambridge, Mass.
Humphreys, M., Sachs, J.D. and Stiglitz, J.E.. Eds. (2007). Escaping the Resource Curse. New York: Columbia University Press.
Kenny, C. and Karver, J.. (2012). Publish What You Buy: The Case for Routine Publication of Government Contracts. CGD Policy Paper 011, Center for Global Development, Washington DC.
Nurkse, R. 1953. Problems of Capital Formation in Underdeveloped Countries. New York: Oxford University Press.
Van der Ploeg, F. and Poelhekke, S.. (2009). Volatility and the Natural Resource Curse. Oxford Economic Papers 61(4): 727760.
Robinson, J., Torvik, R. and Verdier, T.. (2006). Political Foundations of the Resource Curse. Journal of Development Economics 79(2): 447468.
Robinson, J. and Torvik, R.. (2005).White Elephants. Journal of Public Economics 89 (2–3): 197210.
Rodrik, D. (2008). The Real Exchange Rate and Economic Growth. Brookings Papers on Economic Activity 39(2): 365439.
Ross, M. (2012). The Oil Curse: How Petroleum Wealth Shapes the Development of Nations. Princeton and Oxford: Princeton University Press.
Sachs, J. and Warner, A.. (1995). Natural Resource Abundance and Economic Growth. NBER Working Paper 5398. Cambridge, Mass.