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The Natural Resource Curse and Economic Transition


Michael Alexeev


Indiana University Bloomington - Department of Economics

Robert F. Conrad


Duke University - Sanford School of Public Policy; Duke University - Department of Economics

September 2, 2009

CAEPR Working Paper No. 018-2009

Abstract:     
Using cross-country regressions, we examine the relationship between “point-source” resource abundance and economic growth, quality of institutions, investment in human and physical capital, and social welfare (life expectancy and infant mortality). Contrary to most literature, we find little evidence of natural resource curse outside of the economies in transition. In the economies in transition, there is some evidence that natural resource wealth is associated with higher infant mortality. This negative effect, however, exists only relative to other resource rich countries. Compared to other economies in transition, natural resource abundant transitional economies are not worse off with respect to our indicators.

Number of Pages in PDF File: 36

Keywords: economic transition, resource curse, institutional quality

JEL Classification: P27, P28, O13, Q32

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Date posted: September 10, 2009 ; Last revised: September 18, 2009

Suggested Citation

Alexeev, Michael and Conrad, Robert F., The Natural Resource Curse and Economic Transition (September 2, 2009). CAEPR Working Paper No. 018-2009. Available at SSRN: http://ssrn.com/abstract=1471552 or http://dx.doi.org/10.2139/ssrn.1471552

Contact Information

Michael V. Alexeev (Contact Author)
Indiana University Bloomington - Department of Economics ( email )
Wylie Hall 105
Bloomington, IN 47405-6620
United States

Robert F. Conrad
Duke University - Sanford School of Public Policy ( email )
Box 90312
Durham, NC 27708
United States
919-613-7355 (Phone)
Duke University - Department of Economics
Durham, NC 27708-0204
United States
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