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The Oil Curse Validated: Evidence from Eurasia and Latin America

Author

Listed:
  • Barrak Algharabali

    (Department of Public Administration, Kuwait University, Kuwait,)

  • J. S. Butler

    (Martin School of Public Policy and Administration, University of Kentucky, United States,)

  • Stacy Closson

    (Global Fellow with the Wilson Center s Kennan Institute in Washington, DC., United States.)

Abstract

Many studies have found a negative relationship between oil abundance and democracy. However, recent studies have tried to upend this correlation by employing time-series techniques or finding a conditionality on other factors. This study contributes to the literature by employing an Arellano Bond model that corrects for fixed effects and adopts new variables from recent empirical studies. Comparing Eurasia and Latin America from the 1960s to 2010, we find that the theory of a negative relationship between an abundance of natural resources and democracy remains valid.

Suggested Citation

  • Barrak Algharabali & J. S. Butler & Stacy Closson, 2021. "The Oil Curse Validated: Evidence from Eurasia and Latin America," International Journal of Energy Economics and Policy, Econjournals, vol. 11(3), pages 494-501.
    • Handle: RePEc:eco:journ2:2021-03-60
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    References listed on IDEAS

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    Cited by:

    1. Barrak Ghanim Algharabali & Saud Asaad Al-Thaqeb, 2023. "The Natural Resource Curse: Is It Really a Curse?," International Journal of Energy Economics and Policy, Econjournals, vol. 13(4), pages 237-245, July.

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    More about this item

    Keywords

    natural resource curse; natural resource dependence; democracy; natural resource abundance;
    All these keywords.

    JEL classification:

    • N50 - Economic History - - Agriculture, Natural Resources, Environment and Extractive Industries - - - General, International, or Comparative
    • H6 - Public Economics - - National Budget, Deficit, and Debt
    • P28 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Natural Resources; Environment

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