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Are resources a curse or blessings? Evidence from panel ARDL model

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  • Shakti Mohan TANDI

    (University of Hyderabad, India)

  • Prajna Paramita MISHRA

    (University of Hyderabad, India)

Abstract

The present study investigates the resource curse hypothesis in mining-rich districts of Odisha by taking variables such as natural resource abundance, economic growth, investment, human resource development, financial development and institutional quality over the period 1995-2015. The panel ARDL model is applied in order to estimate the long-rum relationship among variables based on three alternative estimators such MG, PMG and DFE. The study finds that there is a negative relationship between natural resource abundance and economic growth in the long-run. The results confirm the existence of natural resource curse in Odisha possibly because of weak institutions and lack of appropriate policies.

Suggested Citation

  • Shakti Mohan TANDI & Prajna Paramita MISHRA, 2020. "Are resources a curse or blessings? Evidence from panel ARDL model," Theoretical and Applied Economics, Asociatia Generala a Economistilor din Romania - AGER, vol. 0(2(623), S), pages 191-204, Summer.
    • Handle: RePEc:agr:journl:v:2(623):y:2020:i:2(623):p:191-204
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    3. Destek, Mehmet Akif & Aydın, Sercan & Destek, Gamze, 2022. "Investigating an optimal resource dependency to prevent natural resource curse: Evidence from countries with the curse risk," Resources Policy, Elsevier, vol. 79(C).

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