Natural Resources, Institutional Quality, and Economic Growth in China

Ji, Kan; Magnus, Jan R.; Wang, Wendun

doi:10.1007/s10640-013-9673-8

Cited by 87 publications

(37 citation statements)

References 23 publications

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“…Some studies in China have also supported the resource-curse hypothesis at provincial levels. These include studies carried out by Zhang et al (2008); Shao and Qi (2009) in Ji et al (2013). The hypothesis of a resource-curse is equally supported by the studies of Papyrakis and Gerlagh (2007) cited in Ji et al (2013) using data from 49 states in the United States of America.…”

Section: Introductionmentioning

confidence: 91%

The Impact of Timber Exports on Economic Growth in Cameroon: An Econometric Investigation

Forgha

Aquilas

2015

Asian Journal of Economic Modelling

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Cameroon, one of the most likely natural resources-based economies in Africa rely on its natural resource exports for growth. With the fall in international oil prices in Cameroon in the late 1980's, timber resources emerged as one of the major sources of foreign earnings.Since then, statistics reveal that timber exports have grown in volume,constitutinglargely of unprocessed and semi-processed wood products, with little value-added. This study, therefore examines the impact of timber export on economic growth in Cameroon over 34 years (1980 to 2014 inclusive) using time series data from the Food and Agricultural Organization and World Development Indicators. Using the Johansen Cointegration and Error Correction Modelling, the results show that timber export have an insignificant effect on the economic growth of Cameroon in the short run and in the long run it has a significant positive effect. We therefore recommend the increased consumption of locally-manufactured wood products, limitation of imported manufactured wood products, as well as encouraging the establishment of locally-based wood processing industries.

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Section: Introductionmentioning

confidence: 91%

The Impact of Timber Exports on Economic Growth in Cameroon: An Econometric Investigation

Forgha

Aquilas

2015

Asian Journal of Economic Modelling

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“…Following existing studies with panel data analyses (Arezki and Bruckner 2011), this study adopts the fixed effects model to control for region-specific effects, such as local political culture and institutional quality (Ji et al 2013), and time-specific effects, such as nationwide anti-corruption policies, which potentially affect corruption and detection rates. 18 I use the following formula to conduct the panel data analysis: Corruption rate it = αResource it +β X it +μ i +ν t +ε it , where the subscript i = 1, 2, .…”

Section: The Statistics Used In the Data Analysis Come From China Lanmentioning

confidence: 99%

Do Natural Resources Breed Corruption? Evidence from China

Zhan

2015

Environ Resource Econ

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Rampant corruption is often observed in resource-rich countries, especially developing countries with weak political institutions. However, controversies exist regarding whether and how natural resources systematically breed corruption. With empirical evidence from China and through a subnational approach, I shed new light on the impacts of resources on corruption. By qualitative study of corruption cases, I identify the causal channels through which resources contribute to corruption, and using cross-regional and longitudinal statistical analysis on a unique dataset of corruption rates in China, I find that resource dependence significantly increases the propensity for corruption by state employees.

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“…Without more balanced government support, development in western China will always lag behind that in eastern China. As a result, the current unbalanced development plan is increasing the wealth gap between western and eastern China, accompanied by deterioration of the western environment and consequences for eastern China (Ji et al 2014).…”

Section: Discussion and Recommendationsmentioning

confidence: 99%

“…Inflation resulting from economic growth also increases the prices of goods, thus lowering the competitiveness of local economies (Zhang et al 2008). In addition, a large proportion of the resources produced by western China cannot be used to improve the local economy, since the resources are mostly exported to eastern China to satisfy that region's large and growing demand for energy and resources (Ji et al 2014). As a result, the benefits of resource exploitation are divided primarily between the central government, the exploitation enterprises, and eastern China, while leaving the resulting environmental problems to be solved (without adequate Fig.…”

Section: The Gap Between Eastern and Western China Inequality Betweenmentioning

confidence: 99%

“…Currently, the WDP relies primarily on ''primitive'' economic sectors such as those based on resource extraction, rather than on processing these resources into finished products or developing newer technologies by establishing a high-tech sector, and the WDP has not attempted to modernize the industrial structure of western provinces (Ji et al 2014). Western China has enormous reserves of energy and mineral resources, thus it should attract more private investment to promote technological progress, the accumulation of human capital, and various positive externalities.…”

Section: Primary Problems Of Economic Growth Must Be Solved In Westermentioning

confidence: 99%

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Escaping the resource curse in China

Cao¹,

Li²,

et al. 2014

AMBIO

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Many societies face an income gap between rich regions with access to advanced technology and regions that are rich in natural resources but poorer in technology. This ''resource curse'' can lead to a Kuznets trap, in which economic inequalities between the rich and the poor increase during the process of socioeconomic development. This can also lead to depletion of natural resources, environmental degradation, social instability, and declining socioeconomic development. These problems will jeopardize China's achievements if the current path continues to be pursued without intervention by the government to solve the problems. To mitigate the socioeconomic development gap between western and eastern China, the government implemented its Western Development Program in 2000. However, recent data suggest that this program has instead worsened the resource curse. Because each region has its own unique strengths and weaknesses, China must escape the resource curse by accounting for this difference; in western China, this can be done by improving education, promoting high-tech industry, adjusting its economic strategy to balance regional development, and seeking more sustainable approaches to socioeconomic development.

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Natural Resources, Institutional Quality, and Economic Growth in China

Cited by 87 publications

References 23 publications

The Impact of Timber Exports on Economic Growth in Cameroon: An Econometric Investigation

The Impact of Timber Exports on Economic Growth in Cameroon: An Econometric Investigation

Do Natural Resources Breed Corruption? Evidence from China

Escaping the resource curse in China

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