Resource Rents and their Impact on Institutional and Economic Development
AbstractOver the twentieth century, Canada's energy, forestry, and mining industries played a substantial and increasing role in the growth and development of the aggregate economy. Despite the improving fundamentals that were underlying their increased contributions to the size, capital intensity, and productivity of the aggregate economy, the relative profitability and equity market performance of the resource industries deteriorated over the twentieth century. Without having to invoke entrepreneurial failure among the resource industries or equity market inefficiency, I am able to illustrate that falling relative output prices played the key role in a reconciliation of what, at first glance, appears to be a surprising relationship between the resource industries' fundamentals, resource rents, and equity market performance.
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Bibliographic InfoPaper provided by Queen's University, Department of Economics in its series Working Papers with number 1143.
Length: 33 pages
Date of creation: Aug 2007
Date of revision:
Find related papers by JEL classification:
- N22 - Economic History - - Financial Markets and Institutions - - - U.S.; Canada: 1913-
- N52 - Economic History - - Agriculture, Natural Resources, Environment and Extractive Industries - - - U.S.; Canada: 1913-
- Q20 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - General
- Q32 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - Exhaustible Resources and Economic Development
This paper has been announced in the following NEP Reports:
- NEP-ALL-2007-12-01 (All new papers)
- NEP-ENE-2007-12-01 (Energy Economics)
- NEP-HIS-2007-12-01 (Business, Economic & Financial History)
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