03303nam 2200613Ia 450 991046399870332120181115205228.01-4623-8907-41-4527-0567-497866128432731-4518-7259-31-282-84327-3(CKB)3170000000055270(EBL)1608303(SSID)ssj0000940042(PQKBManifestationID)11483766(PQKBTitleCode)TC0000940042(PQKBWorkID)10946570(PQKB)10050560(OCoLC)649718522(MiAaPQ)EBC1608303(EXLCZ)99317000000005527020100902d2009 uf 0engurcn|||||||||txtccrAn alternative explanation for the resource curse[electronic resource] the income effect channel /Ali Alichi and Rabah Arezki[Washington, D.C.] International Monetary Fund20091 online resource (26 p.)IMF working paper ;WP/09/112Description based upon print version of record.1-4519-1689-2 Includes bibliographical references.Contents; I. Introduction; Tables; 1. Composition of Government Expenditures in Oil Exporting; II. A Simple Model; A. Closed Economy; Figures; 1. Non-Hydrocarbon GDP Growth and Government Current Spending; 2. Transition Paths; B. Openness and Resource Curse; C. Altruism and Resource Curse; III. Empirical Investigation; A. Empirical Methodology; 3. Resource Curse Channels; B. Results; 2. Growth Regressions; IV. Conclusion; 3. Growth Regressions using Restrictions on Trade and Capital Flows; References; Appendices; A. Data; Appendix Tables; 4. Data Description; 5. Descriptive Statistics6. List of Countries Included in the Sample B. Testing for Whether a Higher Degree of Altruism Dampens the Adverse Effect of Government Current Spending on Non-Hydrocarbon GDP Growth; 7. Growth Regressions using Regional Dummies; C. Regional integration of two large open economiesThe paper provides an alternative explanation for the ""resource curse"" based on the income effect resulting from high government current spending in resource rich economies. Using a simple life cycle framework, we show that private investment in the non-resource sector is adversely affected if private agents expect extra government current spending financed through resource sector revenues in the future. This income channel of the resource curse is stronger for countries with lower degrees of openness and forward altruism. We empirically validate these findings by estimating non-hydrocarbonIMF working paper ;WP/09/112.Resource curseEconomic developmentElectronic books.Resource curse.Economic development.Alichi Ali876494Arezki Rabah936180International Monetary Fund.MiAaPQMiAaPQMiAaPQBOOK9910463998703321An alternative explanation for the resource curse2273580UNINA