This research argues that variations in the interplay between cultural assimilation and cultural diffusion have played a significant role in giving rise to differential patterns of economic development across the globe. Societies that were geographically less vulnerable to cultural diffusion,...

This research argues that variations in the interplay between cultural assimilation and cultural diffusion have played a significant role in giving rise to differential patterns of economic development across the globe. Societies that were geographically less vulnerable to cultural diffusion,...

This study explains the emergence of the Sicilian mafia in the XIX century as the product of the interaction between natural resource abundance and weak institutions. We advance the hypothesis that the mafia emerged after the collapse of the Bourbon Kingdom in a context characterized by a severe...

Does trade improve institutions and contribute to long run growth? I develop a theory of trade, in which trade liberalization provides incentive to change institutions in two ways. On the one hand, trade leads to specialization according to comparative advantage, expanding the industries that do...

I review the literature on the effects of inequality on growth and development in the developing world. Two stylized facts emerge from empirical studies: inequality is more likely to harm growth in countries at low levels of income (below about $3200 per capita in 2000 dollars); and it is at...

Hopes for development aid remain high among Western politicians and pundits, but the evidence is depressing. Foreign aid has on average probably no effect on long-run growth. To understand the failure of many development projects, we need a deeper consideration of the failure of top-down...

Countries face both challenges and opportunities in using their extractive industries to achieve more inclusive development - particularly in the developing world. Yet while a large national income can result from resource wealth, it can also be associated with acute social inequality and deep...

Purpose: The purpose of this study is to determine the resilience of oil intensive Romanian communities to oil price fluctuations. Design/methodology/approach: The methodology employed is based on identifying the communities with the most extensive oil extraction activities using GIS (Geographic...

Following the collapse of the Soviet Union, Western countries have signed several agreements regarding the use of hydrocarbon resources in the Caspian Basin, with the aim of diversifying their energy suppliers. However, recession in the world economy and persistently low oil prices have...

This paper and associated presentation explores the economic phenomenon of the so called ‘resource curse’. We begin by defining the phrase and outlining the main individual ‘curses’ and their causes to give the reader a broad understanding of what is meant by the phrase. This is followed...