Urban development as a marionette? Oil income and urban development in post-revolutionary Iran

Bibliographic Data

ID12714105
AuthorsSeyed Navid Mashhadi Moghaddam (0000-0002-3082-1331, Seyed Navid Mashhadi Moghaddam and Mojtaba Rafieian, Faculty of Art and Architecture, Tarbiat Modares University, Tehran, Iran;corresponding author Mojtaba Rafieian, corresponding author), Mojtaba Rafieian (0000-0001-7371-7617, Seyed Navid Mashhadi Moghaddam and Mojtaba Rafieian, Faculty of Art and Architecture, Tarbiat Modares University, Tehran, Iran;corresponding author Mojtaba Rafieian)
Year2020
Volume42
Issue2
Pages191-217
Publication date2020-04-01
Peer ReviewedYes
Open AccessNo
TypeARTICLE
VenueInternational Development Planning Review (JOURNAL)
Journal identifiersISSN: 1474-6743 • E-ISSN: 1478-3401
PublisherLiverpool University Press (PUBLISHER • GB)
DOI10.3828/idpr.2019.33
OpenAlexW2998043700
LanguageEN
Citations received2
References cited58

The effects of natural resource extraction profits on the economic growth of countries are extensively debated. Some argue that such proceeds are a curse, often referred to as ‘Dutch disease’. Others identify a relationship between natural resource income, specifically oil, and urban development or urbanism. The present research explores the relationship between oil proceeds and urban investment in Iran – an oil-based economy – after the Islamic Revolution. In addition, this project investigates whether, after the revolution, investment in Iran has been equally distributed. To do this, we explain the causal relationship between oil proceeds and the amount of investment in urban development using the Granger causality test, the results of which show oil proceeds to be the Granger cause of investment in urban development in Iranian cities with a three-year lag. At the next stage, we explore the inequality of investment distribution among the thirty-one provinces of Iran since the revolution (through 2017) using the Gini coefficient. The outcomes of this article show that, with the passage of time, resource distribution leads to inequality. Whenever oil proceeds rose, inequality increased

Distribution (mathematics · Dutch disease · Econometrics · Economic inequality · Economics · Economy · Gini coefficient · Granger causality · Income distribution · Inequality · Investment (military · Macroeconomics · Natural resource · Political science · Resource (disambiguation · Resource curse · Energy, Environment, Economic Growth · Market Dynamics and Volatility · Natural Resources and Economic Development

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