2021
DOI: 10.18196/jesp.v22i2.10977
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Testing the Existence of Natural Resource Curse in Indonesia: The Role of Financial Development

Abstract: Natural resources may become a blessing that can contribute to societies’ welfare increases. Yet natural resource abundance could also become a curse for countries’ economic development. Numerous studies have investigated the relationship between natural resources and economic performance. However, the results remain ambiguous and have no consensus in the literature. In specific, most literature focused only on testing the curse’s existence, while studies that involve the role of financial development in media… Show more

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Cited by 5 publications
(3 citation statements)
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“…In some cases, the opposite occurs. It can happen due to rent-seeking, where individuals or groups attempt to gain profit from natural resources without considering the impact on society and the environment (Haryanto, 2018;Rahma et al, 2021;Ridena et al, 2021). SEZs can be related to a resource curse if rich natural resources are located in the area and must be regulated adequately by the government.…”
Section: Results Analysis and Discussionmentioning
confidence: 99%
“…In some cases, the opposite occurs. It can happen due to rent-seeking, where individuals or groups attempt to gain profit from natural resources without considering the impact on society and the environment (Haryanto, 2018;Rahma et al, 2021;Ridena et al, 2021). SEZs can be related to a resource curse if rich natural resources are located in the area and must be regulated adequately by the government.…”
Section: Results Analysis and Discussionmentioning
confidence: 99%
“…These four components need to be developed and built to prevent the risk of dependence on fossil fuels. In natural characteristics, Indonesia is a producer of natural gas, oil, and coal (Admi et al, 2022;Aprizal et al, 2022;Faisol et al, 2020;Ridena et al, 2021). However, the pattern of wasteful consumption that is not matched by production capacity is relatively unsustainable.…”
Section: Problem Statement and Research Focusmentioning
confidence: 99%
“…These resources have yet to be optimally exploited in Indonesia (Djayaputra, 2021;Rahma et al, 2021). In the future, this sector will be an important sector in eradicating poverty, creating job opportunities, increasing national income and export revenues as well as play a role as a producer of raw materials to create added value in the industrial and service sectors (Firdaus, 2017;Ridena et al, 2021). Natural resources require conservation to obtain natural protection.…”
Section: Introductionmentioning
confidence: 99%