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Notes 1. For instance, Botswana succeeded in converting its diamond rents into higher educational attainment for its adult population (see figure 12A.1, in annex 12A). 2. The argument can be reversed: resource abundance can negatively affect the degree of democratization and the institutional framework (Ahmadov 2013; Hendrix 2018; Wigley 2018). 3. In this chapter we use the term resource rich for all countries that have at least 20 percent of exports or 20 percent of fiscal revenue from nonrenewable natural resources (oil, gas, coal, or minerals) over 2006–10 while non-resource-rich countries are the rest of the world. 4. The definition of RR countries is taken from IMF (2012) and Venables (2016) and is detailed in the first section of this chapter. 5. IMF (2012) and Venables (2016) define RR countries as any country deriving at least 20 percent of exports or 20 percent of fiscal revenue from nonrenewable natural resources over 2006–10. In addition, a subcategory of countries that do not necessarily meet the thresholds are included in their list as prospective natural resource–exporting low-income and lower-middle-income countries: Afghanistan, the Central African Republic, Ghana, Guatemala, the Kyrgyz Republic, Madagascar, Mozambique, São Tomé and Príncipe, Sierra Leone, Tanzania, Togo, and Uganda (IMF 2012, 49). This chapter keeps these countries on the list of RR countries. Kuwait and South Africa are not included because of the lack of data for Kuwait for 2006–10, South Africa was close but did not meet the thresholds for that period, and both countries are not lowincome or lower-middle-income, so they do not enter to the category of prospective countries. 6. The World Bank regional classifications are used as a reference, https:// datahelpdesk.worldbank.org/knowledgebase/articles/906519-world-bank -country-and-lending-groups. 7. The qualitative interpretation is reversed for Europe and Central Asia when excluding high-income RR countries, as 27 of 28 high-income countries in this region are also non-RR countries (the only exception is Norway, which is an RR country with a high-income level). The results when excluding highincome countries for every region are available in table 12A.3 in annex 12A. 8. RR countries in the Middle East and North Africa overperform the level of human capital per capita of non-RR countries in the same region. But when considering the whole sample of countries, they underperform compared with non-RR countries with similar levels of gross domestic product per capita (see figure 12.3). 9. Europe and Central Asia is not considered because 27 non-RR countries in the region (of 40) are high-income countries and only one (Norway) is an RR country and a high-income country. The Middle East and North Africa region is not considered because the region’s five major regional RR countries (Bahrain, Oman, Qatar, Saudi Arabia, and the United Arab Emirates), of 11 countries, are high-income countries and only three countries (Israel, Kuwait, and Malta) are non-RR countries with high income levels. North America is de facto discarded because it is composed of Bermuda, Canada, and the United States. South Asia is not considered because of limited comparison data; Afghanistan is the only RR country in that region.
