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Development outcomes, resource abundance,and the transmission through inequality

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Abstract

The paper studies the effect of resource abundance on human development. A simple theory is presented to show that resource abundance negatively affects human development through its effect on inequality. The prediction of the theory is then tested using a system of three equations. Estimates indicate that the transmission channel through inequality is statistically significant and economically relevant even after controlling for per-capita income, institutional quality, and other determinants of both human development and inequality.

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  • Fabrizio Carmignani, "undated". "Development outcomes, resource abundance,and the transmission through inequality," MRG Discussion Paper Series 3610, School of Economics, University of Queensland, Australia.
  • Handle: RePEc:qld:uqmrg6:36
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    JEL classification:

    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • Q32 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - Exhaustible Resources and Economic Development

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