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Natural resources and economic development: the role of national innovation system

Author

Listed:
  • Karamat Khan

    (School of Economics, Henan University)

  • Xueke Song

    (Henan University, Kaifeng, China)

  • Salman Ali Shah

    (School of Economics, Guangxi University, Nanning, China)

  • Kishwar Ali

    (School of Management, Jiangsu University, Zhenjiang, China)

Abstract

The focus of this paper is to test whether the quality of the national innovation system can change the curse of natural resources into a blessing. To examine the above question, this paper uses the global innovation index and its two sub-indices to proxy the national innovation system. Using data from 98 sample countries over the period 2009–2019, the pooled OLS and IV estimates suggest that the negative growth effects of resource rents may turn positive in countries with strong national innovation systems.

Suggested Citation

  • Karamat Khan & Xueke Song & Salman Ali Shah & Kishwar Ali, 2023. "Natural resources and economic development: the role of national innovation system," Economics Bulletin, AccessEcon, vol. 43(1), pages 596-601.
    • Handle: RePEc:ebl:ecbull:eb-22-00314
    as

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    References listed on IDEAS

    as
    1. Rabah Arezki & Frederick van der Ploeg, 2010. "Trade policies, institutions and the natural resource curse," Applied Economics Letters, Taylor & Francis Journals, vol. 17(15), pages 1443-1451.
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    3. Robinson, James A. & Torvik, Ragnar & Verdier, Thierry, 2006. "Political foundations of the resource curse," Journal of Development Economics, Elsevier, vol. 79(2), pages 447-468, April.
    4. Anne D. Boschini & Jan Pettersson & Jesper Roine, 2007. "Resource Curse or Not: A Question of Appropriability," Scandinavian Journal of Economics, Wiley Blackwell, vol. 109(3), pages 593-617, September.
    5. Fagerberg, Jan & Srholec, Martin, 2008. "National innovation systems, capabilities and economic development," Research Policy, Elsevier, vol. 37(9), pages 1417-1435, October.
    6. Sachs, Jeffrey D. & Warner, Andrew M., 2001. "The curse of natural resources," European Economic Review, Elsevier, vol. 45(4-6), pages 827-838, May.
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    More about this item

    Keywords

    Resource curse; natural resource rents; economic development; national innovation system;
    All these keywords.

    JEL classification:

    • O3 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights
    • Q3 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation

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