Political Economy of Rent-Seeking: An Analysis of the Structural and Institutional Consequences of Oil and Gas Raw Material Exports
Subject Areas : اقتصادیamiehossein Khorshidi Athar 1 * , mohammad nematy 2
1 - PhD candidate in International Oil and Gas Contract Management and a researcher at the Imam Sadiq University
2 - Associate Professor, Faculty of Islamic Studies and Economics, Imam Sadiq University
Keywords: Political Economy, Rent-Seeking, Oil and Gas, Raw Exports, Institutional Analysis.,
Abstract :
The raw export of oil has long posed a persistent challenge, leading the Iranian economy to face profound structural problems. This research aims to critique the political economy of oil raw material exports in Iran through an institutionalist approach, analyzing the structural consequences of this phenomenon. In this context, a critical review of common approaches such as the Dutch Disease, rentier state theory, and the resource curse will demonstrate that these frameworks are insufficient to comprehensively explain the political economy of oil raw material exports in Iran. Subsequently, by employing an institutionalist theoretical framework and examining empirical evidence, the study analyzes the role of political, economic, social, and cultural institutions in perpetuating the raw export of oil and its consequences. The main focus is on how an inadequate institutional structure has directed the Iranian economy towards dependency on oil revenues, a rent-seeking culture, and the weakening of the private sector, rather than fostering production, innovation, and entrepreneurship.The findings of the study indicate that overcoming the challenge of oil raw material exports in Iran requires extensive systemic structural reforms in political and economic institutions, improvement in governance, strengthening public participation, and increasing social capital. Otherwise, the continuation of the current state will lead Iran towards a future filled with economic instability, inefficiency, and underdevelopment.
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