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Why Do Some Oil-Producing Countries Succeed in Democracy While Others Fail?

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  • Omgba, Luc Désiré

Abstract

Empirical studies examining the effect of oil on democracy have shown contradictory results. This paper offers an explanation. In measuring the number of years between the beginning of oil production and the attainment of political independence in oil-producing countries, we found that the greater the number of years, the higher the level of democracy ceteris paribus. The types of resources exploited in the colonial period were shown to have influenced institutions’ nature and the formation of elite, which acts to prevent subsequent political reforms. This pattern is mitigated in countries that started producing oil far away from their independence.

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  • Omgba, Luc Désiré, 2015. "Why Do Some Oil-Producing Countries Succeed in Democracy While Others Fail?," World Development, Elsevier, vol. 76(C), pages 180-189.
  • Handle: RePEc:eee:wdevel:v:76:y:2015:i:c:p:180-189
    DOI: 10.1016/j.worlddev.2015.07.005
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    Cited by:

    1. Tian, Jilin & Sim, Nicholas & Yan, Wenshou & Li, Yanyun, 2020. "Trade uncertainty, income, and democracy," Economic Modelling, Elsevier, vol. 90(C), pages 21-31.
    2. Mohammed Lazreg & Kamel Si Mohammed, 2019. "Corruption and Democracy in Middle East and North Africa Countries: Dynamic Generalized Method of Moments," International Journal of Economics and Financial Issues, Econjournals, vol. 9(1), pages 60-65.
    3. Laura Recuero Virto & Denis Couvet, 2017. "The impact of renewable versus non-renewable natural capital on economic growth," Working Papers 2017.15, FAERE - French Association of Environmental and Resource Economists.
    4. Joseph Massil & Sandrine Kablan & Jacques Landry, 2018. "Does Central Bank’s maturity matter for economic growth? [La maturité des Banques Centrales influence -t-elle la croissance économique ?]," Working Papers halshs-01828496, HAL.
    5. Park, Albert Sanghoon, 2017. "Does the Development Discourse Learn from History?," World Development, Elsevier, vol. 96(C), pages 52-64.
    6. Noula Armand Gilbert & Ghamsi Deffo Salomon Leroy & Mofow Neville Zoatsa, 2020. "Exploitation of Mineral Resources and Economic Growth in CEMAC: The Role of Institutions," International Journal of Business and Economic Sciences Applied Research (IJBESAR), International Hellenic University (IHU), Kavala Campus, Greece (formerly Eastern Macedonia and Thrace Institute of Technology - EMaTTech), vol. 13(2), pages 19-29, September.
    7. Tania Masi & Antonio Savoia & Kunal Sen, 2020. "Is there a fiscal resource curse? Resource rents, fiscal capacity, and political institutions in developing economies," WIDER Working Paper Series wp2020-10, World Institute for Development Economic Research (UNU-WIDER).
    8. Luc Désiré Omgba, 2016. "On the mobilization of domestic resources in oil countries: The role of historical factors," WIDER Working Paper Series wp-2016-154, World Institute for Development Economic Research (UNU-WIDER).
    9. Tania Masi & Antonio Savoia & Kunal Sen, 2018. "Is there a fiscal resource curse? Resource rents, fiscal capacity and political institutions," Global Development Institute Working Paper Series esid-096-18, GDI, The University of Manchester.
    10. Hans Tino Ayamena Mpenya & Clarisse Metseyem & Boniface Ngah Epo, 2016. "Natural Resources and Capital Flight in Cameroon," African Development Review, African Development Bank, vol. 28(S1), pages 88-99, April.
    11. Tania Masi & Antonio Savoia & Kunal Sen, 2020. "Is there a fiscal resource curse?: Resource rents, fiscal capacity, and political institutions in developing economies," WIDER Working Paper Series wp-2020-10, World Institute for Development Economic Research (UNU-WIDER).
    12. Joseph Keneck Massil & Sandrine Kablan & Jacques Bikai Landry, 2019. "La maturité des Banques Centrales influence-t- elle la croissance économique ?," Erudite Working Paper 2019-08, Erudite.
    13. Farid Gasmi & Laura Recuero Virto & Denis Couvet, 2020. "The Impact of Renewable Versus Non-renewable Natural Capital on Economic Growth," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 77(2), pages 271-333, October.
    14. Matallah, Siham, 2020. "Economic diversification in MENA oil exporters: Understanding the role of governance," Resources Policy, Elsevier, vol. 66(C).
    15. Luc Désiré Omgba, 2016. "On the mobilization of domestic resources in oil countries: The role of historical factors," WIDER Working Paper Series 154, World Institute for Development Economic Research (UNU-WIDER).
    16. Joseph Keneck Massil, 2015. "Fondement historique de la qualité des institutions politiques : l’expérience parlementaire à l’indépendance," EconomiX Working Papers 2015-29, University of Paris Nanterre, EconomiX.

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