Is Kazakhstan vulnerable to natural resource curse?

Arbeitspapier

This study utilizes panel data from 14 provinces of Kazakhstan and investigates the link between the point-source resources (oil and gas) and economic growth via institutional quality. Labour force migration from manufacturing to non-traded sector occurs as a result of wage increase in the manufacturing sector while its production price is determined and pinned down by the world market. On top of that, the manufacturing sector costs increase even more as a consequence of the price increase of non-traded goods used as inputs in the manufacturing sector. Although, the impact of interaction terms of diffuse resource (wheat) production and institutional quality is not observed, diffuse resources deteriorate the economic growth through wheat price volatility. The wheat price spikes lead to institutional inefficiencies. Moreover, rent-seeking activities of intermediaries in agricultural sector further undermine the economic growth.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: WIDER Working Paper ; No. 2013/130

Classification and Topics

• Classification: Wirtschaft ; Institutions and the Macroeconomy ; Agriculture in International Trade ; Agricultural Policy; Food Policy ; Renewable Resources and Conservation: Issues in International Trade
• Subject: energy production ; Kazakhstan ; point-source ; diffuse resources

Contributors, Location and Time

• Event: Geistige Schöpfung
• (who): Oskenbayev, Yessengali ; Karimov, Aziz
• Event: Veröffentlichung
• (who): The United Nations University World Institute for Development Economics Research (UNU-WIDER)
• (where): Helsinki
• (when): 2013

Further information

• Handle: http://hdl.handle.net/10419/93714
• Last update: 20.09.2024, 8:21 AM CEST