This paper investigates the causal impacts of mining fiscal systems on generating resource rents from oil and gas extraction using fixed-effects panel model. This study covers 82 oil and gas producing countries during the period 1970-2015. It is found that a resource rent tax or its combination with a gross royalty tax performs better than a gross royalty tax in generating oil and gas rents. The significantly positive impacts of this mining fiscal system, however, only happen in developing countries with better institutions: democratic countries and countries with higher level of freedom, while in either developed nations or non-democratic countries or countries with lower levels of freedom the impacts disappear.
Speaker: Abdul Nasir (Arndt-Corden Department of Economics, The Australian National University)
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