The Impact of Natural Resource Abundance on Manufacturing Exports from a Technology Intensity Perspective
Yıl 2020,
Cilt: 20 Sayı: 3, 221 - 230, 30.07.2020
Şule Gündüz
Yeşim R. Kuştepeli
Öz
The association between natural resource abundance and economic performance has been the common concern of economists and political philosophers for centuries. While plenty of resources is a blessing for some countries, others suffer from the paradox of plenty known as Dutch disease. This study aims to search the interaction between natural resource rents and the manufacturing exports of the 34 Organization for Economic Co-Operation and Development (OECD) countries between the years 1990-2015, depending on the technology intensity of sectors using the gravity model of trade. The findings of the study indicate that there is Dutch disease in all of the classifications of manufacturing industries. In other words, for the 34 OECD countries, the upsurge in natural resource rents has an impact on the manufacturing sector’s performance in all subcategories.
Kaynakça
- Alexeev, M. and Conrad, R. (2009). The Elusive Curse
of Oil. The Review of Economics and Statistics. 91(3):
586-598.
- Allcott, H. and Keniston, D. (2018). Dutch Disease or
Agglomeration? The Local Economic Effects of
Natural Resource Booms in Modern America. Review
of Economic Studies. 85: 695-731.
- Anderson, J. E. (1979). A Theoretical Foundation for the
Gravity Equation. The American Economic Review.
69(1): 106-116.
- Anderson, J., E. and van Wincoop, E. (2003). Gravity
with Gravitas: A Solution to the Border Puzzle. The
American Economic Review. 93(1): 170-192.
- Anderson, J. E. and van Wincoop, E. (2004). Trade Costs.
Journal of Economic Literature. 42(3): 691-751.
- Anderson, J. E. (2010). The gravity model. NBER Working
Paper No.16576: 1-45.
- Arin, K.P., Braunfels, E., Zenker, C. (2019). On the Transmission Channels for the Resource Curse. CAMA
Working Paper 67/2019.
- Atkinson, G. and Hamilton, K. (2003). Savings, Growth
and the Resource Curse Hypothesis. World Development. 31(11): 1793-1807.
- Auty, R. M. (1993). Sustaining Development in Mineral
Economies: The resource curse thesis. London: Routledge.
- Auty, R. M. (2001). Introduction and Overview. Resource
Abundance and Economic Development (pp. 3-16).
Edited by R. M. Auty. Oxford: Oxford University Press.
- Auty, R. M. (2007). Natural resources, capital accumulation and the resource curse. Ecological Economics.
61(4): 627-634.
- Baier, S. L., Bergstrand, J. H. and Vidal, E. (2007). Free
trade agreements in the Americas: are the trade
effects larger than anticipated? The World Economy.
30(9): 1347-1377.
- Baier, S. L., Bergstrand, J. H. and Clance, M. (2015).
Heterogeneous Economic Integration Agreement
Effects. CESifo Working Paper Series No. 5488.
Available at https://papers.ssrn.com/sol3/papers.
cfm?abstract_id=2663955. 04.01.2020.
- Behrens, K., Ertur, C. and Koch, W. (2012). “Dual” Gravity:
Using Spatial Econometrics to control for Multilateral Resistance. Journal of Applied Econometrics. 27:
773- 794.
- Beine, M., Bos, C. S. and Coulombe, S. (2012). Does the
Canadian economy suffer from Dutch disease?
Resource and Energy Economics. 34(4): 468-492.
- Bergstrand, J. H., Egger, P. and Larch, M. (2013). Gravity
Redux: Estimation of gravity- equation coefficients,
elasticities of substitution, and general equilibrium
comparative statics under asymmetric bilateral
trade costs. Journal of International Economics.
89(1):110-121.
- Bergstrand, J. H., Larch, M. and Yotov, Y. V. (2015). Economic Integration Agreements, Border Effects, and
Distance Elasticities in Gravity Equations. European
Economic Review. 78: 307-327.
- Bjørnland, H.C. and Thorsrud, L.A. (2016). Boom or
Gloom? Examining the Dutch Disease in Two-Speed
Economies. The Economic Journal. 126(598): 2219-
2256.
- Bjørnland, H.C. and Thorsrud, L.A., Torvik, R. (2019).
Dutch Disease dynamics reconsidered. European
Economic Review. 119: 411-433.
- Bresser-Pereira, L.C.L. (2008). The Dutch disease and
its neutralization: a Ricardian approach. Brazilian
Journal of Political Economy. 28(1): 47-71.
- Brun, J-F., Carrere, C., Guillaumont, P. and de Melo, J.
(2005). Has Distance Died?: Evidence from a Panel
Gravity Model. World Bank Econ Rev. 19(1): 99-120.
- Brunnschweiler, C. N. (2007). Cursing the Blessing?:
Natural Resource Abundance, Institutions, and Economic Growth. World Development. 36(3): 399-419.
Bulte, E. H., Damania, R. and Deacon, R. T. (2005). Resource Intensity, Institutions, and Development.
World Development. 33(7): 1029-1044.
- Camargo, JSM and Gala, P. (2017). The resource curse reloaded: revisiting the Dutch disease with economic
complexity analysis. https://bibliotecadigital.fgv.br/
dspace/handle/10438/18037. 13.01.2020
- Cherif, R. (2013). The Dutch Disease and the technological gap. Journal of Development Economics. 101:
248-255.
- Corden, W. M. and Neary, J. P. (1982). Booming Sector
and De-Industrialisation in a Small Open Economy.
The Economic Journal. 92(368): 825-848.
- Corden, W. M. (1984). Booming Sector and Dutch Disease Economies: Survey and Consolidation. Oxford
Economic Papers. 36 (359-380).
- Corden, W. M. (2012). Dutch Disease in Australia: Policy
Options for a Three-Speed Economy. The Australian
Economic Review. 45(3): 290-304.
- David, P. A. and Wright, G. (1997). Increasing Returns
and the Genesis of American Resource Abundance.
Industrial and Corporate Change. 6(2): 203-245.
- Fagerberg, J., Mowery, D.C. and Verspagen, B. (2009). The
evolution of Norway’s national innovation system.
Science and Public Policy. 36(6): 431-444.
- Feenstra, R. C., Markusen, J. R. and Rose, A. K. (2001).
Using the gravity equation to differentiate among
alternative theories of trade. Canadian Journal of
Economics. 34(2): 430-447.
- Feenstra, R. C. (2004). Advanced International Trade:
Theory and Evidence. Princeton, NJ: Princeton
University Press.
- Feshari, M. (2016). Application of Trade Gravity Model
between Iran and Main Trade Partners (Panel Data
Approach). International Journal of Resistive Economics. 4(4): 83-95.
- Frankel, J. A. (1998). Introduction. The Regionalization of
the World Economy (pp. 1-7). Edited by J. A. Frankel,
Chicago: Chicago University Press.
- Frankel, J. A. (2010). The Natural Resource Curse: A
Survey. NBER Working Paper. 15836: 1-48.
Gelb, A. H. (1988). Oil Windfalls: Blessing or Curse?. Oxford:
Oxford University Press.
- Gylfason, T., Herbertsson, T.T. and Zoega, G. (1999). A
Mixed Blessing. Macroeconomic Dynamics. 3: 204-
225.
- Head, K. and Mayer, T. (2014). Chapter 3- Gravity Equations: Workhorse, Toolkit, and Cookbook. Handbook
of International Economics 4 (pp. 131-195). Edited
by G. Gopinath, E. Helpman and K. Rogoff, Amsterdam: Elsevier.
- Holden, S. (2013). Avoiding the resource curse the case
Norway. Energy Policy. 63: 870-876.
- James, A. and Aadland, D. (2011). The curse of natural resources. An empirical investigation of U.S. counties.
Resource and Energy Economics. 33: 440-453.
- Kubo, K. (2014). Myanmar’s non-resource export potential after the lifting of economic sanctions: a gravity
model analysis. Asia-Pacific Development Journal.
21(1): 1-22.
- Larsen, E. R. (2006). Escaping the Resource Curse and the
Dutch Disease? When and Why Norway Caught Up
with and Forged Ahead of Its Neighbors. American
Journal of Economics and Sociology. 65(3): 605-640.
- Looney, R.E. (1989). Oil Revenues and Viable Development: Impact of the Dutch Disease on Saudi Arabian
Diversification Efforts. American Arab Affairs. 27:
29-35.
- Mehlum, H., Moene, K. and Torvik, R. (2006). Institutions
and the resource curse. The Economic Journal. 116:
1-20.
- Mikesell, R. F. (1997). Explaining the resource curse, with
special reference to mineral-exporting countries.
Resources Policy. 23(4): 191-199.
- Neumayer, E. (2004). Does the “Resource Curse” hold
Growth in Genuine Income as Well?. World Development. 32(10): 1627-1640.
- Pöyhönen, P. (1963). A Tentative Model for the Volume
of Trade between Countries. Weltwirtschaftliches
Archiv 90: 93-99.
- Rostow, W. W. (1959). The Stages of Economic Growth. The
Economic History Review. 12(1): 1-16.
- Rostow, W. W. (1961). The Stages of Economic Growth: A
Non-communist Manifesto. Cambridge: Cambridge
University Press.
- Sachs, J. D. and Warner, A. M. (1995). Natural Resource
Abundance and Economic Growth. National Bureau
of Economic Research Working Paper. 5398: 1-47.
- Sachs, J. D. and Warner, A. M. (1997). Natural Resource
Abundance and Economic Growth. Center for
International Development and Harvard Institute for
International Development.
- Sachs, J. D. and Warner, A. M. (1999). The big push,
natural resource booms and growth. Journal of
Development Economics. 59: 43-76.
- Sachs, J. D. and Warner, A. M. (2001). The curse of natural
resources. European Economic Review. 45: 827-838.
- Smith, B. (2014). Dutch disease and the oil and boom
and bust. Oxcarre Research Paper 133. Oxford, UK:
Oxford Centre for the Analysis of Resource Rich
Economies, University of Oxford. https://www.
economics.ox.ac.uk/materials/OxCarre/ResearchPapers/oxcarrerp2014133.pdf. 25.01.2016
- Stijns, J. (2003). An Empirical Test of the Dutch Disease
Hypothesis using a gravity model of trade. http://
econwpa.repec.org/eps/it/papers/0305/0305001.
pdf. 24.01.2017.
- Stijns, J. (2005). Natural resource abundance and
economic growth revisited. Resources Policy. 30:
107-130.
- Tinbergen, J.J. (1962). Shaping the world economy;
suggestions for an international economic policy.
New York, The Twentieth Century Fund.
- Torvik, R. (2009). Why do some resource-abundant
countries succeed while others do not?. Oxford
Review of Economic Policy. 25(2): 241-256.
- Tripathy, B. N. (1985). Export and Economic Growth.
https://books.google.com.tr/books?id=upmPh9QmpMQC&pg=PA1&lpg=PA1&dq=ex -
port+led+growth+adam+smith&source=bl&ots=CcYotygWc1&sig=0OkVZw9cscfpb7skuYYh6joCKlU&hl=tr&sa=X&ved=0ahUKEwiuyOKkv7XRAhWpC8AKHWDyBTcQ6AEIHjAA#v=onepage&q=export%20led%20growth%20adam%20smith&f=false.
09.01.2017.
- Usui, N. (1997). Dutch disease and policy adjustments to
the oil boom: a comparative study of Indonesia and
Mexico. Resources Policy. 23(4): 151-162.
- van der Marel, E., Dreyer, I. (2014). Beyond Dutch disease.
Economics of Transition. 22(2): 341-364.
- Wright, G. and Czelusta, J. (2007). Resource- Based
Growth Past and Present. Natural Resources: Neither Curse Nor Destiny (pp. 183-211). Edited by D.
Lederman and W. F. Maloney. Palo Alto: Stanford
University Press.
- Yotov, Y. V., Piermartini, R., Monteiro, J-A. and Larch, M.
(2016). An Advanced Guide to Trade Policy Analysis:
The Structural Gravity Model. WTO, Geneva. https://
www.wto.org/english/res_e/booksp_e/advancedwtounctad2016_e.pdf. 25.12.2019.
Yıl 2020,
Cilt: 20 Sayı: 3, 221 - 230, 30.07.2020
Şule Gündüz
Yeşim R. Kuştepeli
Kaynakça
- Alexeev, M. and Conrad, R. (2009). The Elusive Curse
of Oil. The Review of Economics and Statistics. 91(3):
586-598.
- Allcott, H. and Keniston, D. (2018). Dutch Disease or
Agglomeration? The Local Economic Effects of
Natural Resource Booms in Modern America. Review
of Economic Studies. 85: 695-731.
- Anderson, J. E. (1979). A Theoretical Foundation for the
Gravity Equation. The American Economic Review.
69(1): 106-116.
- Anderson, J., E. and van Wincoop, E. (2003). Gravity
with Gravitas: A Solution to the Border Puzzle. The
American Economic Review. 93(1): 170-192.
- Anderson, J. E. and van Wincoop, E. (2004). Trade Costs.
Journal of Economic Literature. 42(3): 691-751.
- Anderson, J. E. (2010). The gravity model. NBER Working
Paper No.16576: 1-45.
- Arin, K.P., Braunfels, E., Zenker, C. (2019). On the Transmission Channels for the Resource Curse. CAMA
Working Paper 67/2019.
- Atkinson, G. and Hamilton, K. (2003). Savings, Growth
and the Resource Curse Hypothesis. World Development. 31(11): 1793-1807.
- Auty, R. M. (1993). Sustaining Development in Mineral
Economies: The resource curse thesis. London: Routledge.
- Auty, R. M. (2001). Introduction and Overview. Resource
Abundance and Economic Development (pp. 3-16).
Edited by R. M. Auty. Oxford: Oxford University Press.
- Auty, R. M. (2007). Natural resources, capital accumulation and the resource curse. Ecological Economics.
61(4): 627-634.
- Baier, S. L., Bergstrand, J. H. and Vidal, E. (2007). Free
trade agreements in the Americas: are the trade
effects larger than anticipated? The World Economy.
30(9): 1347-1377.
- Baier, S. L., Bergstrand, J. H. and Clance, M. (2015).
Heterogeneous Economic Integration Agreement
Effects. CESifo Working Paper Series No. 5488.
Available at https://papers.ssrn.com/sol3/papers.
cfm?abstract_id=2663955. 04.01.2020.
- Behrens, K., Ertur, C. and Koch, W. (2012). “Dual” Gravity:
Using Spatial Econometrics to control for Multilateral Resistance. Journal of Applied Econometrics. 27:
773- 794.
- Beine, M., Bos, C. S. and Coulombe, S. (2012). Does the
Canadian economy suffer from Dutch disease?
Resource and Energy Economics. 34(4): 468-492.
- Bergstrand, J. H., Egger, P. and Larch, M. (2013). Gravity
Redux: Estimation of gravity- equation coefficients,
elasticities of substitution, and general equilibrium
comparative statics under asymmetric bilateral
trade costs. Journal of International Economics.
89(1):110-121.
- Bergstrand, J. H., Larch, M. and Yotov, Y. V. (2015). Economic Integration Agreements, Border Effects, and
Distance Elasticities in Gravity Equations. European
Economic Review. 78: 307-327.
- Bjørnland, H.C. and Thorsrud, L.A. (2016). Boom or
Gloom? Examining the Dutch Disease in Two-Speed
Economies. The Economic Journal. 126(598): 2219-
2256.
- Bjørnland, H.C. and Thorsrud, L.A., Torvik, R. (2019).
Dutch Disease dynamics reconsidered. European
Economic Review. 119: 411-433.
- Bresser-Pereira, L.C.L. (2008). The Dutch disease and
its neutralization: a Ricardian approach. Brazilian
Journal of Political Economy. 28(1): 47-71.
- Brun, J-F., Carrere, C., Guillaumont, P. and de Melo, J.
(2005). Has Distance Died?: Evidence from a Panel
Gravity Model. World Bank Econ Rev. 19(1): 99-120.
- Brunnschweiler, C. N. (2007). Cursing the Blessing?:
Natural Resource Abundance, Institutions, and Economic Growth. World Development. 36(3): 399-419.
Bulte, E. H., Damania, R. and Deacon, R. T. (2005). Resource Intensity, Institutions, and Development.
World Development. 33(7): 1029-1044.
- Camargo, JSM and Gala, P. (2017). The resource curse reloaded: revisiting the Dutch disease with economic
complexity analysis. https://bibliotecadigital.fgv.br/
dspace/handle/10438/18037. 13.01.2020
- Cherif, R. (2013). The Dutch Disease and the technological gap. Journal of Development Economics. 101:
248-255.
- Corden, W. M. and Neary, J. P. (1982). Booming Sector
and De-Industrialisation in a Small Open Economy.
The Economic Journal. 92(368): 825-848.
- Corden, W. M. (1984). Booming Sector and Dutch Disease Economies: Survey and Consolidation. Oxford
Economic Papers. 36 (359-380).
- Corden, W. M. (2012). Dutch Disease in Australia: Policy
Options for a Three-Speed Economy. The Australian
Economic Review. 45(3): 290-304.
- David, P. A. and Wright, G. (1997). Increasing Returns
and the Genesis of American Resource Abundance.
Industrial and Corporate Change. 6(2): 203-245.
- Fagerberg, J., Mowery, D.C. and Verspagen, B. (2009). The
evolution of Norway’s national innovation system.
Science and Public Policy. 36(6): 431-444.
- Feenstra, R. C., Markusen, J. R. and Rose, A. K. (2001).
Using the gravity equation to differentiate among
alternative theories of trade. Canadian Journal of
Economics. 34(2): 430-447.
- Feenstra, R. C. (2004). Advanced International Trade:
Theory and Evidence. Princeton, NJ: Princeton
University Press.
- Feshari, M. (2016). Application of Trade Gravity Model
between Iran and Main Trade Partners (Panel Data
Approach). International Journal of Resistive Economics. 4(4): 83-95.
- Frankel, J. A. (1998). Introduction. The Regionalization of
the World Economy (pp. 1-7). Edited by J. A. Frankel,
Chicago: Chicago University Press.
- Frankel, J. A. (2010). The Natural Resource Curse: A
Survey. NBER Working Paper. 15836: 1-48.
Gelb, A. H. (1988). Oil Windfalls: Blessing or Curse?. Oxford:
Oxford University Press.
- Gylfason, T., Herbertsson, T.T. and Zoega, G. (1999). A
Mixed Blessing. Macroeconomic Dynamics. 3: 204-
225.
- Head, K. and Mayer, T. (2014). Chapter 3- Gravity Equations: Workhorse, Toolkit, and Cookbook. Handbook
of International Economics 4 (pp. 131-195). Edited
by G. Gopinath, E. Helpman and K. Rogoff, Amsterdam: Elsevier.
- Holden, S. (2013). Avoiding the resource curse the case
Norway. Energy Policy. 63: 870-876.
- James, A. and Aadland, D. (2011). The curse of natural resources. An empirical investigation of U.S. counties.
Resource and Energy Economics. 33: 440-453.
- Kubo, K. (2014). Myanmar’s non-resource export potential after the lifting of economic sanctions: a gravity
model analysis. Asia-Pacific Development Journal.
21(1): 1-22.
- Larsen, E. R. (2006). Escaping the Resource Curse and the
Dutch Disease? When and Why Norway Caught Up
with and Forged Ahead of Its Neighbors. American
Journal of Economics and Sociology. 65(3): 605-640.
- Looney, R.E. (1989). Oil Revenues and Viable Development: Impact of the Dutch Disease on Saudi Arabian
Diversification Efforts. American Arab Affairs. 27:
29-35.
- Mehlum, H., Moene, K. and Torvik, R. (2006). Institutions
and the resource curse. The Economic Journal. 116:
1-20.
- Mikesell, R. F. (1997). Explaining the resource curse, with
special reference to mineral-exporting countries.
Resources Policy. 23(4): 191-199.
- Neumayer, E. (2004). Does the “Resource Curse” hold
Growth in Genuine Income as Well?. World Development. 32(10): 1627-1640.
- Pöyhönen, P. (1963). A Tentative Model for the Volume
of Trade between Countries. Weltwirtschaftliches
Archiv 90: 93-99.
- Rostow, W. W. (1959). The Stages of Economic Growth. The
Economic History Review. 12(1): 1-16.
- Rostow, W. W. (1961). The Stages of Economic Growth: A
Non-communist Manifesto. Cambridge: Cambridge
University Press.
- Sachs, J. D. and Warner, A. M. (1995). Natural Resource
Abundance and Economic Growth. National Bureau
of Economic Research Working Paper. 5398: 1-47.
- Sachs, J. D. and Warner, A. M. (1997). Natural Resource
Abundance and Economic Growth. Center for
International Development and Harvard Institute for
International Development.
- Sachs, J. D. and Warner, A. M. (1999). The big push,
natural resource booms and growth. Journal of
Development Economics. 59: 43-76.
- Sachs, J. D. and Warner, A. M. (2001). The curse of natural
resources. European Economic Review. 45: 827-838.
- Smith, B. (2014). Dutch disease and the oil and boom
and bust. Oxcarre Research Paper 133. Oxford, UK:
Oxford Centre for the Analysis of Resource Rich
Economies, University of Oxford. https://www.
economics.ox.ac.uk/materials/OxCarre/ResearchPapers/oxcarrerp2014133.pdf. 25.01.2016
- Stijns, J. (2003). An Empirical Test of the Dutch Disease
Hypothesis using a gravity model of trade. http://
econwpa.repec.org/eps/it/papers/0305/0305001.
pdf. 24.01.2017.
- Stijns, J. (2005). Natural resource abundance and
economic growth revisited. Resources Policy. 30:
107-130.
- Tinbergen, J.J. (1962). Shaping the world economy;
suggestions for an international economic policy.
New York, The Twentieth Century Fund.
- Torvik, R. (2009). Why do some resource-abundant
countries succeed while others do not?. Oxford
Review of Economic Policy. 25(2): 241-256.
- Tripathy, B. N. (1985). Export and Economic Growth.
https://books.google.com.tr/books?id=upmPh9QmpMQC&pg=PA1&lpg=PA1&dq=ex -
port+led+growth+adam+smith&source=bl&ots=CcYotygWc1&sig=0OkVZw9cscfpb7skuYYh6joCKlU&hl=tr&sa=X&ved=0ahUKEwiuyOKkv7XRAhWpC8AKHWDyBTcQ6AEIHjAA#v=onepage&q=export%20led%20growth%20adam%20smith&f=false.
09.01.2017.
- Usui, N. (1997). Dutch disease and policy adjustments to
the oil boom: a comparative study of Indonesia and
Mexico. Resources Policy. 23(4): 151-162.
- van der Marel, E., Dreyer, I. (2014). Beyond Dutch disease.
Economics of Transition. 22(2): 341-364.
- Wright, G. and Czelusta, J. (2007). Resource- Based
Growth Past and Present. Natural Resources: Neither Curse Nor Destiny (pp. 183-211). Edited by D.
Lederman and W. F. Maloney. Palo Alto: Stanford
University Press.
- Yotov, Y. V., Piermartini, R., Monteiro, J-A. and Larch, M.
(2016). An Advanced Guide to Trade Policy Analysis:
The Structural Gravity Model. WTO, Geneva. https://
www.wto.org/english/res_e/booksp_e/advancedwtounctad2016_e.pdf. 25.12.2019.