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Natural resources, institutions and the quality-adjusted human capital

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  • Mohtadi, Soran

Abstract

This article empirically analyses the effects of natural resources on both the quantity and quality of human capital in a panel of 161 countries from 1996 to 2018. We analyze differentiated effects of resource rents depending on the type of resource. Results show that total resource rents has no significant direct effect on human capital. When disaggregating the natural resource variable into sub-categories, we find that oil rents have a negative significant effect on human capital especially in developing countries. Our results also emphasize the crucial role of institutions showing that the negative association between oil rents and human capital can be reversed if the quality of institutions is high enough.

Suggested Citation

  • Mohtadi, Soran, 2022. "Natural resources, institutions and the quality-adjusted human capital," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 49(6), pages 1033-1054.
    • Handle: RePEc:zbw:espost:263321
    DOI: 10.1108/JES-11-2020-0536
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    Cited by:

    1. Soran Mohtadi, 2023. "An empirical analysis on the relationship between resource rents and education: the role of institutional quality thresholds," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 70(2), pages 217-236, June.

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