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For countries focused on the extraction and processing of natural resources, including Russia, the crucial task is to ensure the rational extraction and distribution of natural rent. The tax model applied to natural rent should facilitate its optimal allocation to the budget without undermining the motivation of resource users to invest. The purpose of this study is to gauge the extent of oil rent extraction to the Russian budget and to propose strategies to improve the efficiency of oil rent redistribution to the state budget. According to the author’s hypothesis, export customs duties, compared to the mineral extraction tax, are more effective in achieving the desired redistribution of funds from resource users to the budget. The analysis shows that from 2005 to 2022 up to 87% of the oil rent received in Russia was extracted through rent payments to the state budget. However, in recent years the degree of oil rent extraction has decreased to 56%. This decline can be attributed to the tax maneuver initiated in Russia since 2015, entailing the reduction and eventual abolition of export customs duties and an increase in the mineral extraction tax rate. The results obtained indicate a decline in effectiveness of rent-based taxation in Russia due to the decreasing fiscal significance of rent payments. Furthermore, their regulatory function, designed to stimulate taxpayers to make investments, has weakened. These findings provide valuable insights for shaping fiscal policies and lay the foundation for further research in this area.

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In the present study, the causality between resource rents, openness, and economic growth was investigated using the quantile causality method and quarterly data (2006–2021) in Iran. The advantage of this method is that it makes it possible to investigate the relationships of variables in the conditional distribution tail and all quantiles by using quantile‐based conditional regressions. The results showed a bi‐direction causality between resource rents and growth in the tail of the distribution. Therefore, in the upper median quantiles, the causality is from the resources rent to growth, and in the lower quantiles, the causality is in the opposite direction. The results confirmed, in general, the presence of bi‐direction causality between economic growth and openness in quantiles. In the middle quantile, there is a uni‐direction causality relationship from growth to the trade openness, and in the upper quantile, there is causality from openness to economic growth. In addition, the results showed evidence of a tail dependency between resource rents and trade openness, in some quantiles, the causal relationship is from openness to the resources rent, and in the median quantiles, the causality is from rent to openness. These results show that the rent effect of natural resources can be considered as an opportunity for economic growth by adopting appropriate and flexible policies by governments. We recommend the implementation of more trade liberalization policies to maximize the benefits from trade openness, especially in the countries where the resource curse phenomenon reported. Important policy implications can be learned from the empirical results. [ABSTRACT FROM AUTHOR]

Considering the underground economy and the dependence of Iran's economy on oil and the influence of the tax system on oil revenues, the present study attempts to investigate the effect of oil rent on taxes, emphasizing the role of the underground economy for the period 1973-2021 in the form symmetrical and asymmetrical model. For this purpose, the size of the underground economy was calculated using the MIMIC method, representing an average of 15.2% of Iran’s economy. Then the research model was estimated by linear (symmetric) and non-linear (asymmetric) autoregressive distributed lag. The result indicates that in the symmetrical estimation, the tax is inversely affected by the oil rent, and the increase in the size of the underground economy aggravates this negative relationship. The asymmetric estimate shows that the effect of oil rent on taxation is asymmetric. First, the effect of positive oil rent shocks on taxes is much greater (more than twice) than the effect of negative oil rent shocks. Second, the expansion of the underground economy intensifies the adverse effect of negative oil rent shocks and the positive effect of negative oil rent shocks on taxes. Accordingly, it is suggested that the economic policymaker, regardless of the ups and downs of oil and the resulting rent, should diligently work to improve the efficiency of the tax system, and attempt as much as possible to control and reduce the size of the underground economy.

Due to the heavy reliance on oil revenue in oil-exporting countries, fluctuations in oil prices can impact the social behavior of individuals within society. As a result, it appears that social capital, as a process of social institutions, is affected by oil rent. The purpose of this research is to investigate the impact of oil rent on social capital in selected OPEC oil-exporting countries from 2009 to 2020 using the threshold panel method. The findings indicate that the threshold value for the ratio of oil rent to GDP is estimated at 3.4%. Prior to this threshold, the ratio of oil rent to GDP had a positive and significant effect on social capital; however, after surpassing this threshold, the ratio of oil rent had a negative and significant effect on social capital. Inflation also had a non-linear effect on social capital, while government size did not have a significant impact. Based on these results and the detrimental effects of high levels of oil rent on social capital, it is necessary to control methods that divert oil resources towards rent-seeking activities. One solution could be removing control over oil rent from governments and transferring it directly to citizens. Experience with government management of oil has shown that instead of optimal allocation, most funds have been spent destructively; therefore, mismanagement has turned this divine gift into a curse.

Background: Oil revenues, as an important part of the government's revenues in Iran's oil-dependent economy, play an important role in providing public sector expenditures, including the health sector and consequently have an impact on health outputs. On the other hand, the way of using and managing oil revenues is an important factor in the way of this effect. Therefore, the main purpose of this study was to investigate the interactive effect of good governance and oil rent on life expectancy in Iran. Methods: The present descriptive-analytical study investigated the short-term and long-term equilibrium relationship between health output index, per capita income, oil rent, good governance index, and the cross (interactive) effect of good governance and oil rent from 1985 to 2020 using the time series data of Iran. The data used were collected from World Bank global development indicators database and international country risk guide. Also, model estimation was conducted using and autoregressive distributed lag and data analysis was performed using Eviews 10 software. Results: The results show that in the short and long term, the increase in oil rent improves the health output index in the country. One percent increase in the share of oil rent from gross domestic product (GDP), in the long and short term, increases the life expectancy in the country by about 0.101 and 0.668 percent, respectively. However, the interactive effect of oil rent and good governance index in the short and long term is negative and significant with coefficients of - 0.084 and - 0.515; which shows that oil rent leads to a decrease in life expectancy by weakening good governance indicators. Conclusions: Based on the findings of this study, it can be said that oil rent is inherently useful in promoting health in the country; but its improper use and management causes the health sector to not benefit from it and even become a loss.

The effect of natural resources abundance on the economic performance of resource-rich countries shows different results. In this regard, the results of some studies justify the resource curse phenomenon in rich countries based on the Dutch disease and the political economy of the resource curse hypothesis. In this paper, the role of oil rent (% of GDP) on the employment of agricultural in Iran by the autoregressive distributed lag (ARDL) method has been examined during the 1345-1400 period. The results of model estimation show that the oil rent has a negative and significant effect on the agricultural sector employment, whereby the increase in the natural resources rent has harmed the employment of agricultural sector, and it has not been blessing for this sector. It supports the existence of Dutch disease and the political economy of recourse curse hypothesis in the agricultural sector in Iran.

This article, published in the International Journal of Finance, Insurance & Risk Management, examines the relationship between natural resource rent and economic growth in Nigeria. The study finds that natural resources, economic growth, trade openness, and financial development are co-integrated. It also reveals that natural resources have a neutral effect on long-term economic growth and that there is no evidence of the resource curse hypothesis. The study recommends that the Nigerian government design effective strategies to avoid negative shocks to natural resources and pursue economic policies that generate large revenues from natural resource exports. Additionally, a document is provided that lists references and citations for various research papers and articles related to the topic of natural resource abundance and its impact on economic growth. [Extracted from the article]

Purpose: The abundance of natural resources, as an effective limitation on the government's strategies and the market mechanism, affects the government's behavior from various aspects such as the degree of economic openness, corruption, poverty alleviation, prosperity (Papyrakis & Gerlag, 2007; Segal, 2011) and, as a result, the public debts (Ampfo et al., 2021). Natural resources can raise government capital as a driving force. The growth of government capital can increase the quantity of private capital and production through productivity and cost savings. In addition to encouraging more of these dynamic elements, it can ultimately lead to economic development (Agnor, 2013). Conversely, studies such as Haman et al. (2016) and Arias and Restrepo-Echavarria (2016) show that such a perception is not necessarily correct. The country's reliance on the rent of natural resources can lead to an increase in government spending and a decrease in tax revenue, which ultimately means more public debt. Therefore, the investigation of the factors affecting public debts in developing countries, especially Iran, is of particular importance due to the weakness of the tax system and the existence of a stable budget deficit. In Iran, oil rent is one of the substantial and effective factors in public debts. Understanding the influence of oil rent on public debts enables policymakers and planners to increase the efficiency of government policy while reducing the harmful effects of non-optimal allocation of oil revenues. Considering the importance of the subject, the present research examines the impact of oil resource rent on Iran's public debts. Methodology: Investigating the effect of oil rent on public debts was done with the model of Ampfo et al. (2021) and Mamdeli et al. (2021) in which the dependent variable of "ratio of public debts to GDP" is a function of the ratio of "oil rent to GDP", economic growth, and control variables such as inflation, trade openness, and unemployment. The research variables had an annual frequency and were collected in constant 2010 prices. The data source is the World Bank and the International Monetary Fund and covers the period from 1974 to 2021. In order to analyze the effect of oil rent on public debts, the threshold regression approach was used, in which the value of the threshold value, i.e., the ratio of oil revenue to GDP, is calculated by minimizing the sum of the squared errors. Results and discussion: The research model was estimated considering a structural breakpoint and two regimes. The volume of the threshold variable, i.e., the ratio of oil rent to GDP, is 22.23%. The ratio of oil rent to GDP before the threshold is -2.71, and it is -0.644 after crossing the threshold level. In both regimes, oil rent has a negative and significant effect on public debts. In the high oil regime, however, the impact of oil rent on the public debts is less than that in the low oil regime, which is due to the effects of resource curse on the economy. The results of the research on the negative relationship between oil rent and public debt are consistent with the findings of the studies by Sadik-Zada and Gatto (2019), and Mamdeli et al. (2021). Also, Ampfo et al. (2021) and Yang et al. (2023) indicate that oil rents have a negative and significant effect on public debts in the short run. Eskandaripour et al. (2018) show that, with the increase of oil revenues in Iran, the equilibrium level of the government debts is at its lowest level. Therefore, the government can use oil revenues in a favorable way in order to keep down and stabilize the public debts. Economic growth has a non-linear effect on public debt. So, in a low oil regime, economic growth has an increasing and considerable impact on the government debts, but, in a high oil regime, it has a significant and decreasing effect on the public debts. Unemployment rate and trade openness have non-linear effects on public debts; in the low oil regime, they have a decreasing and significant influence on the public debts, but in the high oil regime, they have a positive and significant effect on the government debt. In both oil regimes, inflation has a positive and significant impact on public debts. However, after crossing the threshold level, its intensity decreases. Conclusions and policy implications: The findings show that in Iran's economy, the volume of government debts is decreased with the increase in oil revenues. In a low oil regime, the oil revenues improve the capital and financial resources available to the government by increasing the income, thus providing the ability to adjust the level of the government's debt. In a high oil regime, however, the government needs heavy budget support by adopting ambitious spending policies in various infrastructures and projects. This decreases the effect of oil rent on public debts in the regime of high oil income. Therefore, in the high oil regime, the continued use of oil resource rents may cause a resource curse which not only fails to expand the industries related to oil resources but also suppresses the industries independent of domestic resources and even widespread economic development. As a result, it will create higher challenges for government finances and debts. [ABSTRACT FROM AUTHOR]

Since the last three decades, the natural resources and energy sector has been regarded as a substantial determinant of economic growth and prosperity. However, the literature is still contradictory and scant for BRICS economies and needs more empirical evidence for appropriate policies. This study aims to analyze the influence of natural resources and cleaner energy on economic performance in the presence of consumption expenditure. Using second-generation diagnostic, unit root, and cointegration tests, the results verify the long-run equilibrium association between the variables during 1990-2021. Due to non-linear data dispersion, the study uses the method of moment quantile regression. It concludes that both natural resources and cleaner energy have an asymmetric influence on the economic growth of these nations. The region's significant factors of economic growth are electricity production from renewable sources and oil rents. Renewable electricity output and mineral rents adversely affect economic growth and performance. Besides, consumption expenditure is also negatively and significantly affecting economic growth. Based on the empirical outcomes, this study also suggested policies that could benefit the BRICS economic growth and performance. [ABSTRACT FROM AUTHOR]

Aging and its consequences have made population aging a major social issue. Aging populations are likely to exacerbate inequality by increasing the public and private financial burdens of social welfare costs. The goal of this study was to estimate the effects of aging on income inequality for 81 countries (37 developing and 44 developed) from 2000 to 2020. The study used a dynamic panel approach in a generalized method of moments (GMM) framework. This study's findings confirm a positive relationship between aging and income inequality in both developing and developed countries, and it demonstrates that the aging effect on income inequality is greater in developing countries than in developed countries. Furthermore, improving human capital, increasing per capita income, proper management, and use of total natural resource rents (% of GDP) in countries, and increasing trade between countries reduce income inequality, according to the findings of this study. Policymakers should reduce income inequality by investing in education, increasing per capita income, managing, and utilizing total natural resource rents (as a percentage of GDP), expanding trade with other countries, and planning for the effects of aging.

The Venezuelan crisis is a striking event in the recent history of oil-producing countries. This article addresses this situation by analyzing the forms of distribution of the oil revenue, situating them more broadly in the history of the “Venezuela of oil.” For this purpose, it studies the specificities of the oil rent distribution in Bolivarian Venezuela, shedding light on two mechanisms: the overvaluation of the currency and the subsidies for petroleum products on the domestic market. The paper examines how such mechanisms have had a negative effect on the country’s productive capacity when they have occurred during rises in oil prices, a process whose consequences have worsened in recent years.

Background: Oil rents (OR) and natural gas rents (NGR) have significant contributions to the income of the Middle East and North Africa (MENA) economies and may increase emissions. Moreover, spatial autocorrelation is expected in carbon dioxide (CO2) emissions due to the geographically closed economies in the MENA region. Thus, we examine the impact of OR and NGR on CO2 emissions caring spatial dimensions and analyze the environmental Kuznets curve (EKC). Methods: We apply the spatial Durbin model technique on the effects of OR, NGR, and economic growth on CO2 emissions in 17 MENA nations from 2000-2019, i.e., Algeria, Bahrain, Egypt, Iran, Iraq, Israel, Jordan, Kuwait, Libya, Morocco, Oman, Qatar, Saudi Arabia, Syria, Tunisia, the United Arab Emirates (UAE), and Yemen. Moreover, diagnostic tests are applied to reach the most appropriate spatial specification and to have the most robust results. Results: The results disclose that CO2 emissions have spillovers and emissions of any country can damage the environment of neighboring countries. The EKC is corroborated with a turning point of 38,698 constant 2015 US dollars. Israel and Qatar are in 2nd phase of the EKC, and 15 MENA economies are in 1st stage. Thus, the economic expansion of most economies has ecological concerns. The effect of natural gas rents is found statistically insignificant. Oil rents have minute negative effects on emissions of local economies with an elasticity coefficient of -0.2117. Nevertheless, these have a positive indirect effect with an elasticity coefficient of 0.5328. Thus, the net effect of oil rents is positive. One percent increase in oil rents could accelerate 0.3211% of emissions. Thus, we suggest the MENA countries reduce reliance on oil rents in their income to avoid the negative environmental effects of the oil sector. [ABSTRACT FROM AUTHOR]

Background Oil rents (OR) and natural gas rents (NGR) have significant contributions to the income of the Middle East and North Africa (MENA) economies and may increase emissions. Moreover, spatial autocorrelation is expected in carbon dioxide (CO2) emissions due to the geographically closed economies in the MENA region. Thus, we examine the impact of OR and NGR on CO2 emissions caring spatial dimensions and analyze the environmental Kuznets curve (EKC). Methods We apply the spatial Durbin model technique on the effects of OR, NGR, and economic growth on CO2 emissions in 17 MENA nations from 2000–2019, i.e., Algeria, Bahrain, Egypt, Iran, Iraq, Israel, Jordan, Kuwait, Libya, Morocco, Oman, Qatar, Saudi Arabia, Syria, Tunisia, the United Arab Emirates (UAE), and Yemen. Moreover, diagnostic tests are applied to reach the most appropriate spatial specification and to have the most robust results. Results The results disclose that CO2 emissions have spillovers and emissions of any country can damage the environment of neighboring countries. The EKC is corroborated with a turning point of 38,698 constant 2015 US dollars. Israel and Qatar are in 2nd phase of the EKC, and 15 MENA economies are in 1st stage. Thus, the economic expansion of most economies has ecological concerns. The effect of natural gas rents is found statistically insignificant. Oil rents have minute negative effects on emissions of local economies with an elasticity coefficient of −0.2117. Nevertheless, these have a positive indirect effect with an elasticity coefficient of 0.5328. Thus, the net effect of oil rents is positive. One percent increase in oil rents could accelerate 0.3211% of emissions. Thus, we suggest the MENA countries reduce reliance on oil rents in their income to avoid the negative environmental effects of the oil sector.

This study examined the impact of country-risk factors on bank stock returns in the Middle East and North Africa (MENA) region countries. It also investigated whether Islamic banks differed from conventional banks and whether oil rent significantly moderated the risk-returns nexus. Using data from 137 banks from 2011 to 2019 and the 2S-GMM method showed that returns reacted positively to low risk. Islamic banks scored higher returns than conventional banks except with financial risk and democratic accountability, and the risk-returns nexus depended on oil. The results suggested that MENA countries should further enhance political stability and economic resilience and upgrade socioeconomic conditions.

Previous "oil curse" studies primarily estimate a single, linear effect of oil rents on income using time-invariant parameters over entire sample periods. This means the true effects of oil dependence cannot be captured if structural changes are taking place, or effects are non-linear. We introduce a two regime Markov-switching model into the resource effects literature to assess the time-varying effects of oil rent dependence on the Malaysian manufacturing sector. We also allow for non-linear threshold effects. We find the impact of oil rents is regime-dependent. Under a rarer "first regime" structure, there is no significant effect. Under a predominant "second regime," there is an inverted U-shaped effect, with oil rents' share of GDP up to 8% positively associated with manufacturing, and negatively associated beyond this. We find connections between regime changes and the 1997 Asian financial crisis and 2008 global financial crisis. Implications for effective diversification policies are discussed. [ABSTRACT FROM AUTHOR]

Objective: Experience of countries with different institutional structures shows that they achieved different development goals. This phenomenon is doubly important in countries with natural resources, such as oil. There are differences in the theoretical and experimental results of the effects of the abundance of natural resources on the growth rate of a developing economy. While some oil-exporting countries have high economic growth, in others implementation of development policies has not only strengthened economic growth, but also further problems such as inadequate resource allocation, increased consumption, waste of resources, economic corruption, government budget imbalances occurred. oil revenues in high institutional quality countries controlled by the macroeconomic structure; however, in countries with low institutional quality, it destroys the macroeconomic structure, which occurs in the turmoil of important economic variables.This article seeks to investigate the two-way effect of economically significant variables and institutional variables on each other. In this regard, first, a macroeconomic model for a developing country that exports a product introduced, and then this model modified based on theoretical considerations and the main features of the Iranian economy. Given that, economic freedom is a good indicator for measuring the institutional quality of countries, it used as an alternative to institutional framework. The economic freedom index of the Fraser Institute implemented as an endogenous institutional variable in the model. Method: This study is based on the analysis of time series data for the period of 1972-2020 in Iran. The fact that improving income in a country may improve institutions internalizes the institutional structure, leading to measurement error, inverse causality, and false correlation, and will distort the model estimation. In such a condition, appropriate econometric methods must be implemented to eliminate these problems. One of the suitable econometric methods to reduce the problem of endogenousity of institutional indicators and correlations between institutional variables and other explanatory variables is GMM (Generalize Method of Moments), which implemented in this article. The model has seven main equations for different economic sectors and sub-indexes of Economic freedom implemented in different equations based on the compatibility with that equation. Results: Consumption function estimation shows that past consumption level has a large effect on current consumption, which confirms the effect of consumption function gears. The positive relationship between consumption and interest rates shows that an increase in interest rates, increases consumption, which is a result of the increasing inflation in the country. The institutional index of healthy (stable) money includes liquidity growth, freedom of ownership of foreign currencies, current inflation rate and inflation change in the last five years and has had a negative effect on consumption. in the investment equation, size of government, national income and interest rates had the greatest impact on investment, respectively. The negative exchange rate coefficient is due to the relationship between the exchange rate and investment, which can be attributed to the fact that in oil-rich countries such as Iran, the bulk of imported capital goods and rising exchange rates make capital goods more expensive and reduce investment. In the export function, foreign income has the greatest effect and a significant relationship between exports and relative prices confirmed. In this equation, the effect of the institutional variable is significant, which confirms the researcher's views. According to the results, low export price elasticity and high export revenue elasticity in Iran can be justified. Because Iran's main export is oil, which mostly influenced by the level of production and income of other countries, and due to the exogenous mechanism of determining international oil price, is not dependent on changes in the country's exchange rate.In the import equation, national income has the greatest effect, and the income elasticity of imports indicates the country's strong dependence on imported goods and the considerable volume of essential goods and services in the country's imports. The effect of oil revenue in the model is significant but its sign is contrary to expectations, as it shows that despite the decline in oil revenue, imports have increased. This evidence suggests that Iran has not been able to implement an import substitution strategy. The positive effect of the institutional variable on imports shows that with the improvement of the foreign trade freedom situation, the country's imports increase.In the production function, the institutional variable of property rights was not significant, but the institutional variable of laws and regulations had an effect on national production, which shows the direct effect of improving the status of laws and regulations and reducing bureaucracy on increasing production. The ratio of imports to capital accumulation has had a positive effect on the level of production, which confirms the results of estimating the import function based on the high share of essential goods in the country's imports.In the money demand function, an increase in national income has increased liquidity, which explains the larger monetary sector compared to the real sector. Increasing oil revenues also increase the volume of liquidity. The institutional variable of government expenditure is marked in agreement with the theory. Changes in the institutional variable of healthy (stable) money also increase the volume of liquidity. It is empheasized again that one of the components of the healthy money index is inflation in recent years, which has not been favorable in Iran and has increased liquidity. The designed institutional function is able to explain the institutional changes of the, and the sign of all coefficients agrees the expected sign. The increase in national income improves the country's institutions, while the increase in other variables such as government size, oil revenue, liquidity volume and inflation has destroyed the country's institutional situation, which government size and inflation have had the greatest impact on the institutional situation. Conclusion: Estimation of institutional function also shows that increasing national income has improved the country's institutions, while increasing other variables such as government size; oil revenue; liquidity and inflation have destroyed the country's institutional situation. Meanwhile improving the quality of institutions leads to an increase in national production and reduces the volume of liquidity.

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The article considers the relevance of the problem of assessing the gross value added created by enterprises belonging to the oil and gas sector of the Russian Federation. There is no unified system of statistical indicators in the world that determine the boundaries and characterize the economy of the oil and gas complexes of the countries of the world. The World Bank’s calculation of the share of oil rents in the gross domestic product of the Russian Federation has adopted as one of the simple indicators for assessing the role of the oil and gas complex in the country’s economy. It has been noted that the oil rent is reflected only as a part of the primary income arising from the extraction of oil and gas, their processing, transportation and further use. The expediency of taking into account the entire value chain created in the oil and gas sector of the economy has been justified. The methodological difficulties of a number of interrelated problems have been highlighted in detail: measuring the added value created by service sector enterprises related to the oil and gas sector; complexly organization of production structures (vertically integrated companies); transfer pricing in the oil and gas industry; reflecting taxes and subsidies on products of the oil and gas sector. The conclusion has been made about the expediency of calculating the share of the oil and gas sector in the gross domestic product of the Russian Federation.

The article aims to provide a theoretical basis for the assessment of the institutional impact on oil production. The availability of fuel is the key driver of the functioning national economy, which determines the strategic and tactical landmarks of socioeconomic development and vectors of the country's foreign economic course. Such tendencies are represented in the results of the provided correlation analysis of the fluctuation between oil-production volumes and greenhouse gas emissions, the use of alternative energy sources, the number of patents for oil production, and unemployment. The provided bibliometric analysis, which was made using VOSviewer, has shown the content of interconnections between the categories of oil production and institutional determinants. The authors hypothesised that changes in the institutional environment and their interconnectedness formed a chain “oil production and oil rents → the level of corruption → the efficiency of public governance”. The hypothesis was confirmed by constructing a system of dynamic models and using the Generalised Method of Moments. The calculations confirmed that oil rents were associated with corruption and were a direct threat to the stability of public institutions. An increasing level of corruption was associated with an increase in the level of rent payments and occurred only when the quality of democratic institutions was below the threshold level. The current level of efficiency in public administration did not have a significant impact on national oil production. Of all indicators, only the level of political stability had a statistically significant impact on oil production. The identified interconnections provide the basis for creating an efficient state policy aimed at effectively functioning state institutions, which promote the development of the oil industry, and the reduction of the country's energy dependence as well as strengthen the resilience of the national economy.

In this article, the interaction effects of growth and happiness in the framework of a dynamic simultaneous equations panel data model have been considered in the OPEC countries during the period of 2005-2016. Also, according to the resource curse hypothesis, the threshold effects of oil rent on both economic growth and happiness have been tested The estimation results have indicated that the first lag of happiness has had an insignificant positive impact on economic growth but the first lag of economic growth has had a significant negative impact on happiness. In other words, it can be argued that the benefits of economic growth in the oil oriented countries under this study are not uniformly distributed across all parts of society. Also, in the framework of the mentioned model, the effect of oil rent on happiness and economic growth has been thresliold In other words, before the thresliold of 26.25% of the ratio of 01 rents to GDP, the 01 rent had a positive effect on economic growth, but after the threshold, it had a negative effect on economic growth, which indicates the phenomenon of resource curse in OPEC countlies. A similar result has been obtained on the effect of oil rent on happiness, so that before the threshold of 26.92% of tie rato of oil rent to GDP, oil rent has had a positive and significant effet on happiness, but after exceeding this threshold, oil rents have had a negative effect on happiness, which could reflect the existence of the Easterlin paradox in the countries. [ABSTRACT FROM AUTHOR]

Objective: Experience of countries with different institutional structures shows that they achieved different development goals. This phenomenon is doubly important in countries with natural resources, such as oil. There are differences in the theoretical and experimental results of the effects of the abundance of natural resources on the growth rate of a developing economy. While some oil-exporting countries have high economic growth, in others implementation of development policies has not only strengthened economic growth, but also further problems such as inadequate resource allocation, increased consumption, waste of resources, economic corruption, government budget imbalances occurred. oil revenues in high institutional quality countries controlled by the macroeconomic structure; however, in countries with low institutional quality, it destroys the macroeconomic structure, which occurs in the turmoil of important economic variables. This article seeks to investigate the two-way effect of economically significant variables and institutional variables on each other. In this regard, first, a macroeconomic model for a developing country that exports a product introduced, and then this model modified based on theoretical considerations and the main features of the Iranian economy. Given that, economic freedom is a good indicator for measuring the institutional quality of countries, it used as an alternative to institutional framework. The economic freedom index of the Fraser Institute implemented as an endogenous institutional variable in the model. Method: This study is based on the analysis of time series data for the period of 1972-2020 in Iran. The fact that improving income in a country may improve institutions internalizes the institutional structure, leading to measurement error, inverse causality, and false correlation, and will distort the model estimation. In such a condition, appropriate econometric methods must be implemented to eliminate these problems. One of the suitable econometric methods to reduce the problem of endogenousity of institutional indicators and correlations between institutional variables and other explanatory variables is GMM (Generalize Method of Moments), which implemented in this article. The model has seven main equations for different economic sectors and sub-indexes of Economic freedom implemented in different equations based on the compatibility with that equation. Results: Consumption function estimation shows that past consumption level has a large effect on current consumption, which confirms the effect of consumption function gears. The positive relationship between consumption and interest rates shows that an increase in interest rates, increases consumption, which is a result of the increasing inflation in the country. The institutional index of healthy (stable) money includes liquidity growth, freedom of ownership of foreign currencies, current inflation rate and inflation change in the last five years and has had a negative effect on consumption. in the investment equation, size of government, national income and interest rates had the greatest impact on investment, respectively. The negative exchange rate coefficient is due to the relationship between the exchange rate and investment, which can be attributed to the fact that in oil-rich countries such as Iran, the bulk of imported capital goods and rising exchange rates make capital goods more expensive and reduce investment. In the export function, foreign income has the greatest effect and a significant relationship between exports and relative prices confirmed. In this equation, the effect of the institutional variable is significant, which confirms the researcher's views. According to the results, low export price elasticity and high export revenue elasticity in Iran can be justified. Because Iran's main export is oil, which mostly influenced by the level of production and income of other countries, and due to the exogenous mechanism of determining international oil price, is not dependent on changes in the country's exchange rate. In the import equation, national income has the greatest effect, and the income elasticity of imports indicates the country's strong dependence on imported goods and the considerable volume of essential goods and services in the country's imports. The effect of oil revenue in the model is significant but its sign is contrary to expectations, as it shows that despite the decline in oil revenue, imports have increased. This evidence suggests that Iran has not been able to implement an import substitution strategy. The positive effect of the institutional variable on imports shows that with the improvement of the foreign trade freedom situation, the country's imports increase. In the production function, the institutional variable of property rights was not significant, but the institutional variable of laws and regulations had an effect on national production, which shows the direct effect of improving the status of laws and regulations and reducing bureaucracy on increasing production. The ratio of imports to capital accumulation has had a positive effect on the level of production, which confirms the results of estimating the import function based on the high share of essential goods in the country's imports. In the money demand function, an increase in national income has increased liquidity, which explains the larger monetary sector compared to the real sector. Increasing oil revenues also increase the volume of liquidity. The institutional variable of government expenditure is marked in agreement with the theory. Changes in the institutional variable of healthy (stable) money also increase the volume of liquidity. It is emphasized again that one of the components of the healthy money index is inflation in recent years, which has not been favorable in Iran and has increased liquidity. The designed institutional function is able to explain the institutional changes of the, and the sign of all coefficients agrees the expected sign. The increase in national income improves the country's institutions, while the increase in other variables such as government size, oil revenue, liquidity volume and inflation has destroyed the country's institutional situation, which government size and inflation have had the greatest impact on the institutional situation. Conclusion: Estimation of institutional function also shows that increasing national income has improved the country's institutions, while increasing other variables such as government size; oil revenue; liquidity and inflation have destroyed the country's institutional situation. Meanwhile improving the quality of institutions leads to an increase in national production and reduces the volume of liquidity. [ABSTRACT FROM AUTHOR]

• The role of finance in premature deindustrialisation. • How country-specific factors shape the decline in manufacturing. • Oil rent and the decline in manufacturing. • A negative relationship between domestic credit by banks and manufacturing value added in Nigeria. • A positive relationship between development finance and manufacturing in Nigeria. The literature on deindustrialisation often neglects the role of finance in the decline in manufacturing, despite the increasing shift towards financial speculation relative to real investments. This paper tries to bridge this gap in the literature by examining the role of finance in Nigeria's premature deindustrialisation, particularly banks' drive for short-term profits and their choice to lend to the oil and gas sector over manufacturing. We show that deindustrialisation in Nigeria can be traced back to the effect of the neoliberal policies of the 1980s and the take-off of financial liberalisation, corresponding to the decline in manufacturing value added. In the same period, employment share in manufacturing declined, however, at a distinctly lower rate than manufacturing value added. Therefore, higher productivity of labour is considered a less prominent factor for premature deindustrialisation in Nigeria, not least due to the low level of technological upgrading. We argue that the disproportionate flow of bank credit to the oil and gas and services sectors relative to manufacturing is further incentivised by the government's failed subsidy to the oil industry, which guarantees rent extraction for private interests. Using the Autoregressive Distributed lag (ARDL) estimation for the period 1981-2018, we find evidence that suggests a significant negative impact of domestic credit by banks on manufacturing value added in Nigeria. The disproportionate flow of domestic bank credit to the oil and gas and services sectors in Nigeria also indicates a significant negative impact on the country's manufacturing. On the other hand, net domestic credit by financial institutions, which includes financial flows by domestic development banks, has a significant positive impact on manufacturing. [ABSTRACT FROM AUTHOR]

The relationship between oil and economic growth is one of the most important issues in the oil-exporting countries that the nature of the relationship is important for the economic policymakers of these countries. The purpose of this study was to examine the effects of oil rent on economic growth in OPEC countries during the period 1961-2017. For this purpose, using the new and hybrid threshold Markov switching model, the threshold effects of oil rent on economic growth regimes have been modeled. The results of the estimation of the research model indicate that oil rent has a nonlinear and threshold effect on economic growth regimes, so that as long as the share of oil rents in gross domestic product is less than 30.9% percent, oil rent has a positive effect on economic growth but after exceeding the threshold, oil rent has had a significant negative impact on economic growth. The results also show that economic growth in OPEC countries has two high and low growth regimes that the high-growth regime has lower durability than the low-growth regime.

Despite the established link between oil rent fluctuations and remittances received, its plausible joint effect on economic growth in Sub-Saharan Africa (SSA) remains unexplored. To fill this gap, first, we determine whether natural resource rent (composed of oil rent, forest rent and natural gas rent) reduces economic growth in SSA. Second, we examine whether positive macroeconomic signals such as remittances mitigate the negative effect of oil rents on economic growth in a sample of 43 SSA countries spanning 1990–2017. We employ the pooled ordinary least squares, fixed-effects, random-effects and generalized method of moments. The resulting empirical evidence established are: (1) there is a positive impact of forest rent on economic growth whilst oil rent and natural gas rent have a negative impact on economic growth (2) there is a positive marginal and net effect on economic growth from the interaction between remittances and oil rent. In addition, the unconditional effect of remittances on growth is positive. We further perform a threshold analysis to establish a critical ground that could also influence economic growth positively. This threshold is crucial because below these critical mass remittance inflows mitigate the negative incidence of oil rent on economic growth and above the threshold, negative oil rent on growth is completely nullified. This is relevant for policy implications because policymakers are provided with actionable levels of remittances which are easily attainable in sampled countries.

Despite the established link between oil rent fluctuations and remittances received, its plausible joint effect on economic growth in Sub-Saharan Africa (SSA) remains unexplored. To fill this gap, first, we determine whether natural resource rent (composed of oil rent, forest rent and natural gas rent) reduces economic growth in SSA. Second, we examine whether positive macroeconomic signals such as remittances mitigate the negative effect of oil rents on economic growth in a sample of 43 SSA countries spanning 1990–2017. We employ the pooled ordinary least squares, fixed-effects, random-effects and generalized method of moments. The resulting empirical evidence established are: (1) there is a positive impact of forest rent on economic growth whilst oil rent and natural gas rent have a negative impact on economic growth (2) there is a positive marginal and net effect on economic growth from the interaction between remittances and oil rent. In addition, the unconditional effect of remittances on growth is positive. We further perform a threshold analysis to establish a critical ground that could also influence economic growth positively. This threshold is crucial because below these critical mass remittance inflows mitigate the negative incidence of oil rent on economic growth and above the threshold, negative oil rent on growth is completely nullified. This is relevant for policy implications because policymakers are provided with actionable levels of remittances which are easily attainable in sampled countries. [ABSTRACT FROM AUTHOR]

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The modern oil industry is an outcome of a three-stage change in which the largest cartel in recent memory emerged secretly, thrived visibly, and collapsed onto itself just before the 1973-74 oil crisis. Iran was the first country in the Middle East where a colonial oil concession (D’Arcy, 1901) for the exploration and production of oil was signed. This paper focuses on Iran to unveil the toehold of the International Petroleum Cartel (1928-72) in economic/political terms, before theorizing the history of decartelization, oil rents, and the competitive globalization of the petroleum sector following the crisis of the early 1970s. This paper validates that, regardless of the ownership of deposits, the lessor is entitled to a differential oil rent and the lessee merely to a competitive profit, both of which are the effect of the globalization of oil. Oil contracts in the Islamic Republic are no exception.

The present work analyzes the international relations of Venezuela during the governments of Hugo Chávez and Nicolás Maduro. We focused on providing an explanation for its growing confrontation with the US government and its rapprochement with countries such as China and Russia. This is a problem that was addressed by numerous studies and on which an alternative approach is proposed here, arguing that the change in the external partners of Venezuela was but a necessary form of continuity in its specificity as a national process of capital accumulation based on the appropriation of income from the oil land. [ABSTRACT FROM AUTHOR]

Purpose of the article: To investigate and ascertain the impact of oil rent on happiness in selected African countries. Methodology/methods: This study employed the trend analysis to graphically illustrate some major data. It also employed the fixed effect to analyse the model and the partial efficiency analysis to rank the countries studied in terms of their efficiency in the use of oil rent to produce happiness. Scientific aim: This study examines the relationship between oil rent, the oil price, the GDP growth, the mineral rent and happiness. Findings: The results show that oil rent does not significantly increase happiness in the countries studied with Cameroun being the happiest country in the panel. Oil prices however significantly increased happiness. The study also found that the economic growth reduces happiness. Conclusions: The study provides evidence that the economic growth alone does not lead to happiness in the country if citizens are not employed and the rate of inflation continues to spiral upward. The study thus concludes that the economic growth must be inclusive in nature through government use of rents to invest in sectors that create value additions and job opportunities for citizens. The study also recommends the setting of the social safety net, as well as ensuring that inflation is properly managed. [ABSTRACT FROM AUTHOR]

We attempt in this paper to estimate the impact of the endowment of natural resources, particularly oil rent, as well as the impact of the quality of institutions, on the level of public spending in Algeria. Our purpose is to test, by the application of an econometric estimation (OLS and 2SLS), the significance of the variable oil rent and the variables indicating the institutional quality of public expenditure management. Moreover, it was interesting to add the interaction term between rent and the variables indicating the quality of the institutions to see the indirect and common effect on the dependent variable. The results of the estimation show that the impact of natural rent is greater than the impact of oil rent on both components of public spending: equipment expenses and operational expenses. Thus, we see that there is no proportional relationship between rent and public spending. In regards of the institutional quality, the results show that the budgetary procedures lack transparency with the presence of rent, because the benefits related to the exercise of power are more important, which encourage politicians to manipulate the composition of public expenditure to maximize their likelihood to make decisions. This result is argued by the positive relation between spending and respectively the level of financial risk, and the level of economic risk. Positive relationship between public spending and the measure of political risk shows that the current government increases spending to avoid conflicts and manifestations of the population. However, the interaction effect between rent and institutional quality measures on spending is negative, indicating that the presence of rent in less democrat countries like Algeria increases expenditure. This indicates that the positive public spending effects diminish as institutional quality improves. [ABSTRACT FROM AUTHOR]

The Venezuelan social formation is characterized by its condition of oil exporter and the role fulfilled by the international oil rents. This paper seeks to discuss the relationship between oil rents, public fund and social policy during the recent history of Venezuela, marked since 1999 by the Bolivarian process. From a more general theoretical discussion on the public fund and social policy, it is sought to understand the specificity assumed in the recent period in Venezuela in view of the increase of available oil rents and the centrality attributed to the social question by the Bolivarian government. As a conclusion, we indicate the relation between the surplus working population and the oil rents as an important feature of the Bolivarian process as well as the presence of significant capital flight. [ABSTRACT FROM AUTHOR]

This study examined the impact of country-risk factors on bank stock returns in the Middle East and North Africa (MENA) region countries. It also investigated whether Islamic banks differed from conventional banks and whether oil rent significantly moderated the risk-returns nexus. Using data from 137 banks from 2011 to 2019 and the 2S-GMM method showed that returns reacted positively to low risk. Islamic banks scored higher returns than conventional banks except with financial risk and democratic accountability, and the risk-returns nexus depended on oil. The results suggested that MENA countries should further enhance political stability and economic resilience and upgrade socioeconomic conditions. [ABSTRACT FROM AUTHOR]

The relationship between oil rent and crude oil production remains unexplored in Cameroon. This study therefore aims to apply the Autoregressive Distributed Lag (ARDL) estimation technique and the Granger causality test using the Toda-Yamamoto procedure to capture the symmetric impact and causality links between oil rent and crude oil production in Cameroon. The study covers the period from 1977 to 2019, and includes crude oil prices, human development index (HDI) and corruption as other variables. The study indicates that there is a significant negative linear impact of crude oil production on oil rent and a bidirectional causality between oil rent and crude oil production. Finally, the price of crude oil, HDI and corruption are found to pass through production to influence oil rent. The results of this study will guide policy makers in managing and sustaining oil revenues for growth and prosperity.•The paper examines the linear impact of crude oil production on oil rent and the causal links between crude oil production and oil rent by incorporating crude oil prices, HDI and corruption.•Bidirectional causality between oil rent and crude oil production.•Convergence of crude oil price, HDI and corruption to crude oil production to influence oil rent., Competing Interests: The authors declare that they have no known competing financial interests or personal relationships that could have appeared to influence the work reported in this paper., (© 2023 The Authors.)