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Oil resource abundance, institutions and growth: Evidence from oil producing African countries

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  • Eregha, P.B.
  • Mesagan, Ekundayo Peter

Abstract

The study interacted different measures of institutional quality and oil-resource abundance to determine if good institutions can reverse resource curse or enhance resource blessing in African oil rich countries. Result showed that institutional quality insignificantly enhanced per-capita income growth, thereby questioning institutional quality in these countries, but surprisingly, the interaction variables were negative and significant alluding to the fact that the quality of institutions in these countries would not be able to reverse the resource curse in these countries. It is therefore expedient to strengthen the quality of the institutions to sustain growth and enhance proper resource management in these countries.

Suggested Citation

  • Eregha, P.B. & Mesagan, Ekundayo Peter, 2016. "Oil resource abundance, institutions and growth: Evidence from oil producing African countries," Journal of Policy Modeling, Elsevier, vol. 38(3), pages 603-619.
    • Handle: RePEc:eee:jpolmo:v:38:y:2016:i:3:p:603-619
    DOI: 10.1016/j.jpolmod.2016.03.013
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    More about this item

    Keywords

    Oil resource abundance; Institutions; Panel data; Per capita GDP growth;
    All these keywords.

    JEL classification:

    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • Q0 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General

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