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Resource Rents, Redistribution, and Halving Global Poverty: The Resource Dividend

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  • Segal, Paul

Abstract

Summary This paper considers the proposal that each country distributes its resource rents directly to citizens as a universal and unconditional cash transfer, or Resource Dividend, and estimates its potential impact on global poverty for the years 2000-06. Using a global dataset on resource rents and the distribution of income, I find that if every developing country implemented the policy then the number of people living below $1-a-day would be cut by between 27% and 66%, depending on the year and the assumptions made. Looking ahead, poverty could be better than halved as long as commodity prices do not drop below their 2004 level.

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  • Segal, Paul, 2011. "Resource Rents, Redistribution, and Halving Global Poverty: The Resource Dividend," World Development, Elsevier, vol. 39(4), pages 475-489, April.
  • Handle: RePEc:eee:wdevel:v:39:y:2011:i:4:p:475-489
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    Cited by:

    1. Gadom DJAL-GADOM & Armand MBOUTCHOUANG KOUNTCHOU, 2016. "Cross-County Poverty Comparisons In Chad: The Impact Of The Oil Revenues Redistribution Policy," Region et Developpement, Region et Developpement, LEAD, Universite du Sud - Toulon Var, vol. 44, pages 61-78.
    2. Rentschler, Jun, 2016. "Incidence and impact: The regional variation of poverty effects due to fossil fuel subsidy reform," Energy Policy, Elsevier, vol. 96(C), pages 491-503.
    3. repec:gam:jsusta:v:10:y:2018:i:6:p:1958-:d:151849 is not listed on IDEAS
    4. Massimiliano Mazzanti & Roberto Zoboli, 2012. "A Political Economy Approach to Resource Taxation: Weak Sustainability, Revenue Recycling and Regional Planning," Working Papers 201202, University of Ferrara, Department of Economics.
    5. Mohammad Reza Farzanegan & Mohammad Habibpour, 2014. "Direct Distribution of Rents and the Resource Curse in Iran: A Micro-econometric Analysis," CESifo Working Paper Series 4824, CESifo Group Munich.
    6. Gadom Djal Gadom & Armand Mboutchouang Kountchou & Gbetoton Nad ge Ad le Djossou & Gilles Quentin Kane & Abdelkrim Araar, 2017. "The impact of oil exploitation on wellbeing in Chad," Working Papers PMMA 2017-06, PEP-PMMA.
    7. repec:eee:eneeco:v:66:y:2017:i:c:p:35-42 is not listed on IDEAS
    8. Nina Korte, 2011. "It’s Not Only Rents: Explaining the Persistence and Change of Neopatrimonialism in Indonesia," GIGA Working Paper Series 167, GIGA German Institute of Global and Area Studies.
    9. Bressand, Albert, 2014. "Proving the old spell wrong," Research Report 14012-GEM, University of Groningen, Research Institute SOM (Systems, Organisations and Management).
    10. Christoph Lakner & Branko Milanovic, 2016. "Global Income Distribution: From the Fall of the Berlin Wall to the Great Recession," World Bank Economic Review, World Bank Group, vol. 30(2), pages 203-232.
    11. repec:eee:jrpoli:v:54:y:2017:i:c:p:71-80 is not listed on IDEAS
    12. Franklin Obeng-Odoom, 2016. "The Meaning, Prospects, and Future of the Commons: Revisiting the Legacies of Elinor Ostrom and Henry George," American Journal of Economics and Sociology, Wiley Blackwell, vol. 75(2), pages 372-414, March.
    13. repec:eee:wdevel:v:106:y:2018:i:c:p:161-172 is not listed on IDEAS
    14. Fuss, Sabine & Chen, Claudine & Jakob, Michael & Marxen, Annika & Rao, Narasimha D. & Edenhofer, Ottmar, 2016. "Could resource rents finance universal access to infrastructure? A first exploration of needs and rents," Environment and Development Economics, Cambridge University Press, vol. 21(06), pages 691-712, December.
    15. Segal, Paul, 2012. "How to spend it: Resource wealth and the distribution of resource rents," Energy Policy, Elsevier, vol. 51(C), pages 340-348.
    16. Kalkuhl, Matthias & Fernandez Milan, Blanca & Schwerhoff, Gregor & Jakob, Michael & Hahnen, Maren & Creutzig, Felix, 2017. "Fiscal Instruments for Sustainable Development: The Case of Land Taxes," MPRA Paper 78652, University Library of Munich, Germany.
    17. Shantayanan Devarajan, Hélène Ehrhart, Tuan Minh Le, Gaël Raballan, 2011. " Direct Redistribution, Taxation, and Accountability in Oil-Rich Economies- A Proposal- Working Paper 281," Working Papers 281, Center for Global Development.
    18. Sudhir Anand & Paul Segal, 2014. "The Global Distribution of Income," Economics Series Working Papers 714, University of Oxford, Department of Economics.
    19. repec:oup:renvpo:v:11:y:2017:i:1:p:138-155. is not listed on IDEAS
    20. repec:kap:iecepo:v:15:y:2018:i:1:d:10.1007_s10368-016-0359-x is not listed on IDEAS
    21. Christoph Lakner & Branko Milanovic, 2015. "La distribución global del ingreso. De la caída del muro de Berlín a la gran recesión," Revista de Economía Institucional, Universidad Externado de Colombia - Facultad de Economía, vol. 17(32), pages 71-128, January-J.
    22. repec:bla:growch:v:48:y:2017:i:1:p:4-21 is not listed on IDEAS
    23. repec:dgr:rugsom:14012-gem is not listed on IDEAS
    24. repec:eee:jeeman:v:88:y:2018:i:c:p:366-378 is not listed on IDEAS

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