RESOURCE CURSE AND DUTCH DISEASE: ECONOMIC, INSTITUTIONAL, AND SOCIAL IMPACTS IN PERSPECTIVE

Year 2025, Volume: 7 Issue: 2, 115 - 133, 30.04.2025

Bulat Mukhamediyev Azimzhan Khitakhunov Zhansaya Temerbulatova

Abstract

This article examines the economic and institutional implications of the resource curse and Dutch disease in resource-rich countries. It investigates how dependence on oil and gas exports influences GDP growth, corruption levels, social development, and governance quality. Using comparative analysis, the study identifies three main patterns: first, countries with strong institutions and diversification strategies, such as Norway and Canada, successfully convert resource wealth into sustainable development; second, countries like Nigeria and Venezuela demonstrate that weak governance leads to low economic performance despite resource abundance; and third, states with mixed outcomes, such as Kazakhstan and Saudi Arabia, show moderate progress but remain vulnerable to external shocks. The findings highlight the importance of transparent fiscal policies, investment in human capital, and institutional reform. Natural resource wealth alone does not guarantee prosperity – effective governance is essential to mitigate risks and ensure long-term economic stability.

Keywords

Resource curse , Dutch disease , Economic growth , Oil dependence , Governance , Diversification

Ethical Statement

This study did not require approval from an ethics committee as it did not involve human participants, animals, or sensitive personal data. All data used in this research were obtained from publicly available sources.

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