Authoritarianism and democracy in rentier states

Cook, pp.

beblawi rentier state

In fact, his aim is to disprove the idea that rentier states hinder democracy and economic development. Preview Unable to display preview.

Rentier state russia

The taxation effect suggests that, when governments derive sufficient revenues from selling oil or other natural resources, these are very likely to tax their populations very little or not at all. Lenin wrote in "For that reason the term 'rentier state' Rentnerstaat , or usurer state, is coming into common use in the economic literature that deals with imperialism. References Beblawi, Hazem and Giacomo Luciani eds. The concept of the rentier state, or the rentier economy, applies to a country that relies on substantial external rent in the form of the sale of oil, transit charges Suez Canal , or tourism. In particular, it has demonstrated that rentier states tend to hinder democracy, promote authoritarian rule, and discourage economic development. The budget, in effect, is little more than an expenditure programme. Such manipulation may include monopolies , trading restrictions, and the solicitation of subsidies or aid in exchange for political influence or conversely the solicitation of loans in exchange for the reserve currency, e. CrossRef Google Scholar Copyright information. The world has become divided into a handful of usurer states and a vast majority of debtor states.

An alternative explanation derived from the rentier-state model may render this connection spurious, as it advances a compelling explanation of authoritarianism.

Third, in a rentier state, only a few are engaged in the generation of rent, whereas the majority of its population is involved in its distribution and consumption.

rentierism theory

In addition, the oil rent leads to secondary rents, usually stock market or real estate speculation. Correspondence to bi bikupan. Domestic rent is, in fact, not sufficient to characterize the rentier economy.

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The Rentier State: Does Rentierism Hinder Democracy?