<p>In the contemporary world, the resource curse paradox remains a significant challenge in Asian countries, where abundant natural resources have not consistently translated into sustainable economic growth. To overcome this paradox, strengthening human skills, advancing digital governance, and increasing digital investments are elements of the knowledge-based economy that unlock the productive potential of resource-rich industries in enhancing efficiency and promoting inclusive and resilient economic growth. Given this context, the study analyzes both the direct and indirect relationships between natural resources and economic growth, mediated by human capital and skills, digital investment, and e-governance in Asian economies. Utilizing data from 2014 to 2022, the study applies the generalized method of moments to explore these dynamics. Our empirical findings confirm the resource curse hypothesis, revealing that higher levels of natural resources inhibit economic growth. In contrast, digital investment, e-governance, and human capital and skills significantly drive economic growth across all models. Moreover, their moderating effects are positive, helping to mitigate the adverse impacts of the resource curse. The consistency of these coefficients has been validated through robustness checks. These findings suggest that policymakers should promote human skills, digital investments, and e-governance within resource-based industries to support economic revival and counter the negative effects of the resource curse.</p>

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Do Human Skill Development, Digital Governance, and Digital Investments Mitigate the Mineral Resource Curse in Asian Countries?

  • Ilma Sharif,
  • Asif Razzaq

摘要

In the contemporary world, the resource curse paradox remains a significant challenge in Asian countries, where abundant natural resources have not consistently translated into sustainable economic growth. To overcome this paradox, strengthening human skills, advancing digital governance, and increasing digital investments are elements of the knowledge-based economy that unlock the productive potential of resource-rich industries in enhancing efficiency and promoting inclusive and resilient economic growth. Given this context, the study analyzes both the direct and indirect relationships between natural resources and economic growth, mediated by human capital and skills, digital investment, and e-governance in Asian economies. Utilizing data from 2014 to 2022, the study applies the generalized method of moments to explore these dynamics. Our empirical findings confirm the resource curse hypothesis, revealing that higher levels of natural resources inhibit economic growth. In contrast, digital investment, e-governance, and human capital and skills significantly drive economic growth across all models. Moreover, their moderating effects are positive, helping to mitigate the adverse impacts of the resource curse. The consistency of these coefficients has been validated through robustness checks. These findings suggest that policymakers should promote human skills, digital investments, and e-governance within resource-based industries to support economic revival and counter the negative effects of the resource curse.