The Study of Relationship Between Resource Abundance – Governance - Economic Growth with Emphasis on the Role of Information and Communication Technology

The role and influence of the natural resources abundance on economic growth is considered as a puzzle in the economy. In order to investigate this issue, quality of governance role and the diffusion of information and communication technology as a facilitator of good governance settling have been considered and due to studying topic data for 31 oil-rich countries (proxy for natural resources index), from 1980 to 2015, and dynamic common correlated effects method is used. The results of the study show that the role of natural resources in economic growth depends on the quality of governance in countries. Natural resources in high-quality governance nations have become an important and essential factor for economic growth, but in countries with poor governance, natural resources have deterred economic growth. It means natural resources abundance causes economic activities boosts while there is good governance, and with low quality of governance, natural resources abundance will slow down economic growth. Also, according to the results, it could be said that diffusion of ICT causes resource abundance to improve economic growth in the group of countries that the level of information and communication technology is low. This is because of market transparency, increase public awareness through access to more information and more government accountability towards people.