Rent-Seeking, Resource Booms and the Size of the Entrepreneurial Class : A Theoretical Analysis
AbstractThis paper develops a model of rent-seeking in which the opportunity cost of rent-seeking is foregone entrepreneurship. It provides conditions under which resource booms tend to lead to an increase in rent-seeking activity and those in which they induce entrepreneurship. It is shown that the effects of a resource boom depend critically on the number of rent-seeker/entrepreneurs in an economy.
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Bibliographic InfoPaper provided by Notre-Dame de la Paix, Sciences Economiques et Sociales in its series Papers with number 191.
Length: 18 pages
Date of creation: 1997
Date of revision:
Contact details of provider:
Postal: FACULTE UNIVERSITAIRE NOTRE-DAME DE LA PAIX, FACULTE DES SCIENCES ECONOMIQUES ET SOCIALES, RUE DE BRUXELLES NAMUR FRANCE.
Web page: http://www.fundp.ac.be/facultes/eco/
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ECONOMIC MODELS ; ENTREPRENEURS;
Find related papers by JEL classification:
- D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
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