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Development Based on Commodity Revenues?

Author

Listed:
  • Sergei Guriev
  • Alexander Plekhanov

    (European Bank for Reconstruction and Development (EBRD))

  • Konstantin Sonin

    (Higher School of Economics (HSE))

Abstract

Commodity resources offer significant opportunities for development. In the long run, however, the performance of commodity - rich countries tends to fall short of expectations, as commodity rents induce macroeconomic volatility and undermine incentives to improve institutions. The resource - rich countries have embraced a range of diversification strategies to avoid the “resource trap”, to varying degrees and with varying success. Improving institutions remains the key challenge.

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  • Sergei Guriev & Alexander Plekhanov & Konstantin Sonin, 2009. "Development Based on Commodity Revenues?," Sciences Po publications info:hdl:2441/106i379teb8, Sciences Po.
    • Handle: RePEc:spo:wpmain:info:hdl:2441/106i379teb8moplr2gknsi2nfd
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