• Economics
  • Published 2008

Relationship Between Natural Resources and Institutions

  title={Relationship Between Natural Resources and Institutions},
  author={Mathieu Couttenier},
This article analyses through a rent seeking model, the relationship between institutions' quality and natural resources. Depending on the institutions quality, each country has a specific structural capacity to stand natural resources dependency. It is shown that for each country, a threshold exists, such that beyond this point, any additional amounts of natural resources begin to have a negative impact on institutions. As the stock of natural resources increases, this improves the expected… CONTINUE READING

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