In other words, for the 34 OECD countries, the upsurge in natural resource rents has an impact on the manufacturing sector’s performance in all subcategories.
📌 3 Key Takeaways
🎯
Objective & Hypothesis:The association between natural resource abundance and economic performance has been the common concern of economists and political philosophers for centuries.
📊
Key Findings & Data:This study aims to search the interaction between natural resource rents and the manufacturing exports of the 34 Organization for Economic Co-Operation and Development (OECD) countries between the years 1990-2015, depending on the technology intensity of sectors using the gravity model of trade.
💡
Conclusion & Impact:In other words, for the 34 OECD countries, the upsurge in natural resource rents has an impact on the manufacturing sector’s performance in all subcategories.
The association between natural resource abundance and economic performance has been the common concern of economists and political philosophers for centuries. While plenty of resources is a blessing for some countries, others suffer from the paradox of plenty known as Dutch disease. This study aims to search the interaction between natural resource rents and the manufacturing exports of the 34 Organization for Economic Co-Operation and Development (OECD) countries between the years 1990-2015, depending on the technology intensity of sectors using the gravity model of trade. The findings of the study indicate that there is Dutch disease in all of the classifications of manufacturing industries. In other words, for the 34 OECD countries, the upsurge in natural resource rents has an impact on the manufacturing sector’s performance in all subcategories.
GÜNDÜZ, Ş., KUŞTEPELİ, Y. R. (2020). The Impact of Natural Resource Abundance on Manufacturing Exports from a Technology Intensity Perspective. Ege Akademik Bakış Dergisi, Cilt: 20 - Sayı: 3, 221–230. https://ajindex.com/articles/751874
Alexeev, M. and Conrad, R. (2009). The Elusive Curse of Oil. The Review of Economics and Statistics. 91(3): 586-598.
Allcott, H. and Keniston, D. (2018). Dutch Disease or Agglomeration? The Local Economic Effects of Natural Resource Booms in Modern America. Review of Economic Studies. 85: 695-731.
Anderson, J. E. (1979). A Theoretical Foundation for the Gravity Equation. The American Economic Review. 69(1): 106-116.
Anderson, J., E. and van Wincoop, E. (2003). Gravity with Gravitas: A Solution to the Border Puzzle. The American Economic Review. 93(1): 170-192.
Anderson, J. E. and van Wincoop, E. (2004). Trade Costs. Journal of Economic Literature. 42(3): 691-751.
Anderson, J. E. (2010). The gravity model. NBER Working Paper No.16576: 1-45.
Arin, K.P., Braunfels, E., Zenker, C. (2019). On the Transmission Channels for the Resource Curse. CAMA Working Paper 67/2019.
Atkinson, G. and Hamilton, K. (2003).
Savings, Growth and the Resource Curse Hypothesis. World Development. 31(11): 1793-1807.
Auty, R. M. (1993). Sustaining Development in Mineral Economies: The resource curse thesis. London: Routledge. Auty, R. M. (2001). Introduction and Overview. Resource Abundance and Economic Development (pp. 3-16). Edited by R. M. Auty. Oxford: Oxford University Press.
Auty, R. M. (2007). Natural resources, capital accumulation and the resource curse. Ecological Economics. 61(4): 627-634.
Baier, S. L., Bergstrand, J. H. and Vidal, E. (2007). Free trade agreements in the Americas: are the trade effects larger than anticipated? The World Economy. 30(9): 1347-1377.
Baier, S. L., Bergstrand, J. H. and Clance, M. (2015). Heterogeneous Economic Integration Agreement Effects. CESifo Working Paper Series No. 5488. Available at https://papers.ssrn.com/sol3/papers. cfm?abstract_id=2663955. 04.01.2020.
Behrens, K., Ertur, C. and Koch, W. (2012). “Dual” Gravity: Using Spatial Econometrics to control for Multilateral Resistance. Journal of Applied Econometrics. 27: 773- 794. Beine, M., Bos, C. S. and Coulombe, S. (2012). Does the Canadian economy suffer from Dutch disease? Resource and Energy Economics. 34(4): 468-492.
Bergstrand, J. H., Egger, P. and Larch, M. (2013). Gravity Redux: Estimation of gravity- equation coefficients, elasticities of substitution, and general equilibrium comparative statics under asymmetric bilateral trade costs. Journal of International Economics. 89(1):110-121.
Bergstrand, J. H., Larch, M. and Yotov, Y. V. (2015).