The Economics of Natural Resource Scarcity and Implications for Development Policy and International Cooperation

Resources and Development: Natural Resource Polices and Economic Development in an Interdependent World. P. Dorner and M.A.El- Shafie (eds), University of Wisconsin Press, 1980

40 Pages Posted: 21 Feb 2016

See all articles by Edgar L. Feige

Edgar L. Feige

University of Wisconsin - Madison - Department of Economics

David M. Blau

Ohio State University (OSU) - Economics

Multiple version iconThere are 2 versions of this paper

Date Written: January 1, 1980

Abstract

This paper analyses the problem of natural resource scarcity and its implications for economic development and international cooperation. We examine the meaning and measurement of resource “scarcity” and its implications for economic growth and development. The paper describes the conditions required for the efficient use of exhaustible natural resources and for optimal inter-temporal efficient paths and considers the consequences of uncertainty, risk, externalities, disequilibria and institutional constraints on the market’s ability to achieve efficient resource utilization. Particular attention is paid to the implications of the cartelization of natural resource industries and the disturbing tendency to use political rather than economic motivations as the basis for resource production and distribution decisions.

Keywords: Natural resource scarcity; cartels; OPEC; energy prices; economic development; non-renewable resources; efficiency

JEL Classification: Q3, Q4, L1, L41, D6, D8

Suggested Citation

Feige, Edgar L. and Blau, David M., The Economics of Natural Resource Scarcity and Implications for Development Policy and International Cooperation (January 1, 1980). Resources and Development: Natural Resource Polices and Economic Development in an Interdependent World. P. Dorner and M.A.El- Shafie (eds), University of Wisconsin Press, 1980, Available at SSRN: https://ssrn.com/abstract=2735063

Edgar L. Feige (Contact Author)

University of Wisconsin - Madison - Department of Economics ( email )

1180 Observatory Drive
Madison, WI 53706
United States

David M. Blau

Ohio State University (OSU) - Economics ( email )

410 Arps Hall
1945 N. High St.
Columbus, OH 43210-1172
United States

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
54
Abstract Views
409
rank
416,773
PlumX Metrics