Proceedings of the 18th Economics & Finance Conference, London

IMPACT OF MINERAL RESOURCE RENT ON ECOLOGICAL FOOTPRINT IN GULF COUNTRIES

RUBA ALJARALLAH

Abstract:

It is mostly the countries in the Gulf region that are blessed with natural resources that are faced with significant resource capital management challenges. As a result, these nations' capacity to utilize their blessed natural resources in the creation of goods that can be exported is reduced. Through the utilization of time-series data spanning the years 2000-2020, the research examined the main critical components that are responsible for causing damage to the ecosystem in five Gulf countries mainly, Saudi Arabia, UAE, Qatar, Kuwait, and Oman. The utilization of resource rents rather than resource value is a direct result of this phenomenon. According to the findings, mineral resource rents are the most significant determinants of the resource, which depletes mineral resources, in addition, economic activity and the renting out of resources also raise the ecological footprint. Industrialization also increases the ecological footprint in Gulf countries. According to the findings, it is vital to enact different resource regulations and policies that could be based on incentives to reduce the ecological footprints and the consumption of natural resources.

Keywords: Ecological footprint, Resource rent, Developing countries, Regulation, Environment

DOI: 10.20472/EFC.2023.018.001

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