Natural resources and income inequality: economic complexity is the key

The purpose of this paper is to analyse the effects of natural resources on income inequality conditional on economic complexity in 111 developed and developing countries from 1995 to 2016. The system-GMM results show that economic complexity reverses the positive effects of natural resource depende...

Full description

Saved in:
Bibliographic Details
Published in:Environment and development economics 2024-04, Vol.29 (2), p.127-153
Main Authors: Awoa Awoa, Paul, Atangana Ondoa, Henri, Ngoa Tabi, Henri
Format: Article
Language:English
Subjects:
Agricultural commodities
Complexity
Democracy
Developing countries
Diversification
Economic growth
Economic structure
Economics
Exports
Fossil fuels
GDP
Gross Domestic Product
Human capital
Income
Income distribution
Income inequality
Income redistribution
LDCs
Metals
Natural resources
Raw materials
Socioeconomics
Citations: Items that this one cites
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:The purpose of this paper is to analyse the effects of natural resources on income inequality conditional on economic complexity in 111 developed and developing countries from 1995 to 2016. The system-GMM results show that economic complexity reverses the positive effects of natural resource dependence on income inequality. Furthermore, results are robust to the distinction between dependence on point resources (fossil fuels, ores, and metals), dependence on diffuse resources (agricultural raw material), and resource abundance. Finally, there are significant differences between countries, depending on the level of ethnic fragmentation and democracy.
ISSN:1355-770X
1469-4395
DOI:10.1017/S1355770X2300013X