Effects Of Oil Revenue Research Articles

Causality among Oil Revenue, Non-Oil Revenue, Fiscal Risk Factors and Budget Execution Phase in Relation to Debt Overhang and Crowding-Out Theories: Contending Gap Issues

We reviewed literatures on the complex causality among oil revenue, non-oil revenue, fiscal risk factors and budget execution phase in relation to debt overhang and crowding-out theory. The majority of papers surveyed study on investigated the long-run and short-run relationship between fluctuations of oil price ; direction of causality between total revenue and total government spending ; the dynamics of the tax revenue and expenditure nexus, explored the impact of oil prices volatility on the key factors of the government budget, analyse the relationship between public expenditure and debt —little research in the area of the impact of oil price fluctuations on key macroeconomics variables. The evidence provided by the empirical literature is that there are indeed heterogeneous responses to position on complex causality among oil revenue, non-oil revenue, fiscal risk factors and budget execution phase in relation to debt overhang and crowding-out theory. It is detected that most study reviewed did not disintegrated relevant revenue: oil revenue (upstream oil revenues, downstream oil revenues, petroleum profit tax(PPT)); non-oil revenue (company income tax (CIT), value added tax (VAT), personal income tax ) and budget risk factors: oil price volatility (OPV)(OPEC Spot OPV, Brent OPV, West Texas Intermediate OPV), public debt (external public debt, domestic public debt), debt servicing (external debt interest service and domestic debt interest service) on budget execution phase (public expenditure: capital budget expenditure and recurrent budget expenditure). It is recommended that research effort should be made in answering the following research questions: what is the effect of oil revenue on budget implementation (public expenditure: capital expenditure and recurrent expenditure)? How non-oil tax revenue is correlates with budget implementation (public expenditure: capital expenditure and recurrent expenditure)? Of what effect is oil price vola

Oil Wealth and Economic Growth in Nigeria: An Empirical Analysis

This study examines the impact of oil wealth on economic growth in Nigeria over the period 1990-2021. The Autoregressive Distributed Lag (ARDL) approach was used to estimate the long-run and short-run dynamics of the relationship. The study finds that there is a positive and significant relationship between oil revenue and economic growth in Nigeria in the long-run. However, in the short run, the effect of oil revenue on economic growth is not statistically significant. The study also finds that the agricultural sector has a positive and significant impact on economic growth, while the health sector has a mixed impact, depending on the lagged periods considered. The education sector, on the other hand, has a positive impact on economic growth, but this effect is only significant at longer lagged periods. Based on these findings, the study recommends that the Nigerian government should focus on diversifying the economy by investing in non-oil sectors such as agriculture, education, and health to achieve sustainable economic growth.

The Effect of Oil Revenue on Economic Growth in Nigeria: Evidence from Quantile Regression Method

The Effect of Oil Revenue on Economic Growth in Nigeria: Evidence from Quantile Regression Method

Effect of oil revenues on size and income of Iranian middle class

ABSTRACT This paper investigates the effect of oil revenues on the middle-class size and income in Iran. Following Kharas (2017. The unprecedented expansion of the global middle class: An update. The Brookings Institution), it uses an absolute measure to define the middle class as those who earn between US$11 and US$110 per day (2011 PPP). The study employs annual time series data for 1965–2017 and a Vector Autoregressive (VAR) model along with impulse response and variance decomposition analyses. Findings indicate that the response of the middle class to positive oil-income shocks in Iran is positive and significant. It is further shown that the channels of international non-oil trade, service sector, and overall economic development are important in understanding the relationship between the oil income and the middle class in Iran. These results are robust when controlling for other channels in the nexus of oil income and middle class as well as alternative definitions of middle-class income based on relative measures obtained from Iran’s income and expenditure household surveys.

Petrol Gelirleri ve Ekonomik Büyüme: Seçilmiş Petrol Zengini Gelişmekte Olan Ülkeler Üzerine Bir Panel Veri Analizi

Bu calisma, secilen 12 petrol zengini gelismekte olan ulkede, petrol gelirlerinin ekonomik buyumeyi nasil etkiledigini belirlemeyi amaclamaktadir. Kisi basina reel gayri safi yurtici hâsila ekonomik buyumeyi gosterirken, petrol gelirini temsilen ham petrol fiyati ve ihracati alinmistir. Bu iliskiyi etkilemesi beklenen reel efektif doviz kuru ve tuketici fiyat endeksi de diger aciklayici degiskenler olarak modele eklenmistir. Kaynak talihsizligi bulgusunu arastirmaya yonelik olarak 2000-2010 donemi icin panel veri regresyon analizi uygulanmistir. Petrol gelirlerinin buyume uzerine olan pozitif etkisinin oldukca dusuk olmasi, ‘kaynak talihsizligi hipotezi’ni destekler niteliktedir. Genel sonuclar, petrol kaynaklarinin daha etkin kullanilmasina ve kaynak talihsizliginin gelisim mekanizmalarinin engellenmesine yonelik politikalarin onemini ortaya koymaktadir.

Effect of Oil Revenue and the Sudan Economy: Econometric Model for Services Sector GDP

Abstract This paper investigates the impact of oil revenue and the service GDP of Sudan for the period 2000 to 2012. To achieve this goal, secondary data were collected and analyzed using regression methods. The results reveal a causal relationship between oil revenue (independent variable) and service GDP (dependent variables). Regression analysis result suggests that oil revenue affects the service GDP positively. Oil revenue is estimated to have contributed to 78.8 percent of variation in GDP between 2000 and 2012. Furthermore, a unit change in oil revenue will cause a .0246 percent change in service GDP.

Effect of Oil Revenues on Investment of Manufacturing: The Case of Iran

The way of providing financial sources for investment in the manufacturing is important subject to study the process of industrialization and obstacles' it. Studies show that most industrial countries providing necessary resources to invest in manufacturing from the industrial exports of industrial products. While the developing countries single-product providing necessary resources to invest in manufacturing from the exports of raw materials. Iran is a developing country with amount of oil exports over 80 percent of total exports of Iran that shows a dependence Iran's economy on oil revenues and the oil revenues and the absence of active industrial goods. In this article we intend to survey the effect of oil revenues on investment of manufacturing in Iran during the years 1988-2006 and in this article we used VAR model to survey it. The results show that the investment in chemical industry and machinery that dependent on oil materials and importing capital and intermediaries goods has been increased. Increase investment in these industries as well as accompanied with many fluctuations by the fluctuation oil revenues and can't lead to the continuous growth in industry and the industrial development.

The contribution by economists to middle eastern studies (1973–1998)

More economists have been involved in Middle Eastern studies during the last twenty‐five years than ever before, and economists from the region itself now rightly play a dominant role. Inevitably amongst economists there have been disagreements and different schools of thought, especially over the role of the state and the desirability of privatization and structural adjustment policies. There have also been different definitions of rentier states, and contrasting analysis of the dynamics of oil pricing and the effects of oil revenue. Much attention has been paid to regional economic integration issues, even though little has been achieved in that field. There is increasing interest in external trade and investment issues, but in a region where poverty persists, economists should perhaps focus more on the basic needs of the poor which are not being met. Applied microeconomic studies should be given greater priority, as macroeconomic issues have been exhaustively covered and debated.

The price of wealth: business and state in labor remittance and oil economies

This article contrasts the effects of state-controlled oil revenues and privately controlled labor remittances on institutional development, state capacity, and businessgovernment relations in Saudi Arabia and the Yemen Arab Republic. These two countries represent extreme cases of dependence on external capital in deeply divided societies presided over by fragile, emerging bureaucracies. By tracing the two cases through a pattern of economic boom (1973-83) and recession (1983-87), the study demonstrates that the type, volume, and control of capital inflows decisively influence the relative development of the bureaucracy's extractive, distributive, and regulatory capacities and affect the ability of the state to respond to economic crisis. In both cases, external capital inflows precipitated the decline of extractive institutions. However, oil revenues and labor remittances had divergent effects on businessgovernment relations, and this circumscribed the state's ability to implement austerity programs during the recession. During the crisis, the Saudi government's efforts to cut subsidies to the private sector and to implement extractive policies were blocked by the state-sponsored merchant class. In contrast, the Yemeni government instituted a thoroughgoing austerity package that targeted the independent merchant class. In both cases, external capital inflows did not augment the efficacy of those that controlled them. These paradoxical outcomes are explained by tracing the different effects of oil revenues and labor remittances on the distribution of economic opportunity in the public and private sectors and the resulting effects on the regional, tribal, and sectarian composition of the bureaucracy and the commercial class.

The Effect of Oil Revenue on the Fertility Pattern in Iran, 1952-1976

Using data from the 1976 census in Iran this study investigates the relationship between the distribution of oil revenue and fertility patterns across the countrys 23 provinces. Contrary to expectations in Iran the increase of oil revenues from 1952 to 1975 was not accompanied by a decline in the fertility rate. Urbanization plays less of a role in predicting fertility than do other variables. Much urban growth in Iran can be attributed to migration of the rural and small urban population seeking employment--the result not of social or economic development but of unequal distribution of wealth across the provinces. High school and college education of females aged 15-29 and the lower proportion of married females age 20-24 were found to be important factors in depressing the fertility rate. The path model indicates that the effect of oil revenue on the fertility pattern across the provinces is not direct: much of the expenditure for education was concentrated in urban areas of oil/industrial oriented provinces. And as the % of high school and college education for females increases so also does womens average age at 1st marriage.