Are Natural Resources a Curse on Provision of Public Services？
- XIONG Ruoyu & WU Junpei
- Wuhan University, 430072.
We analyze the relationship between the natural resources and the provision of public services by the government in Chinese mainland. The richer the natural resources, the lower the level of public education and health provision. However, it doesn't affect welfare provision. The inverse relationship between natural resources and public services provision is relatively strong in the middle and western regions, but relatively weak in eastern regions. The richer the natural resources, the less the taxation effort, the lower demand for highly skilled labor, and the lower the level of public services provision. Besides, a better relationship between the government and the market, a well-developed service industry, and a prosperous non-state-owned economy help to ease the inverse relationship between the natural resource and the provision of public services.
- Public Services, Basic Public Services, Natural Resources, Resource Curse, Taxation Effort