Testing the Natural Resource Curse Hypothesis in Indonesia: Evidence at the Regional Level

Ahmad Komarulzaman and Armida Alisjahbana

No 200602, Working Papers in Economics and Development Studies (WoPEDS) from Department of Economics, Padjadjaran University

Abstract: Resource curse literatures explain that countries abundant with natural resources tend to grow slower. This hypothesis is relevant for Indonesia as it is a country rich in natural resources. This paper tries to investigate empirically the relationship between resources abundance and its impact on economic development at the regional level using cross section regression approach. The regional financial data from ministry of finance are combined with regional specific data from BPS to seek the pattern. The paper will shed light on whether resources rich regions in Indonesia are trapped in this curse.

Keywords: Natural resource rent; resource curse hypothesis; Indonesia (search for similar items in EconPapers)
JEL-codes: Q01 Q56 R11 (search for similar items in EconPapers)
Pages: 17 pages
Date: 2006-08, Revised 2006-08
New Economics Papers: this item is included in nep-dev, nep-ene, nep-env and nep-sea
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (11)

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