The Political Economy of Extractivism : Global Perspectives on the Seduction of Rent

This line of argument, focusing on unfavorable price developments for primary commodities and declining terms of trade, was discussed relatively early (Singer 1950; Prebisch 1962). A large body of empirical literature has since attempted not only to research the evolution of the terms of trade but also to explain the causes for their volatility, as well as their deterioration. Furthermore, these arguments played a crucial role in development strategies such as import substitution (Ahmed 1989). 3 In this introduction, the meaning of "Global South" is guided by the considerations of Dados and Connell (2012). 4 At the same time, rents appear as a particular form of income following standard textbook descriptions on the micro-level: those who control rents can freely use them. This might lead to economic sectors and parts of the population being dependent on rent transfers, often imprecisely described as market distortion. 5 The connection between rent and social reproduction links to the debates put into the discussion by the feminist political economy (Bakker 2007). 6 However, we cannot deduce actual development strategies, relevant actor constellations, and their choices from the existence of rents. As rents do not automatically end up in the pockets of the powerful, actors need to appropriate rents to use them. Thus, the mode of appropriation is crucial and can be specific to different countries. 7 On the one hand, this discussion revolves around the surplus structure of entire societies. This includes the income of individuals but further points to the need for analyzing the market process, including the market's mechanisms to exploit, use, and reinvest surplus. On the other hand, it has to focus on the non-market sphere and mechanisms that allow for appropriating economic surplus by circumventing, uncoupling, blocking, or even abolishing the market (Warnecke-Berger 2022). The approach then opens the debate for the detailed experiences that area studies have and still produce on the topic. Cover Half Title Series Page Title Page Copyright Page Table of Contents List of Contributors Introduction: The Political Economy of Extractivism Introduction: The Political Economy of Extractivism Regionalized Discussions on Extractivism Introduction: The Political Economy of Extractivism The Internal Dynamics of Extractivism: Rent Introduction: The Political Economy of Extractivism The Political Economy of Extractivism Introduction: The Political Economy of Extractivism Persistence of Extractivism and the Seduction of Rent: Cases Presented in this Volume Introduction: The Political Economy of Extractivism Notes Introduction: The Political Economy of Extractivism References Part I: Global Configurations Part I: Global Configurations Chapter 1: Trade, Unequal Specialization, and the Persistence of Extractivism Introduction Part I: Global Configurations Chapter 1: Trade, Unequal Specialization, and the Persistence of Extractivism Trade and Global Uneven Development Part I: Global Configurations Chapter 1: Trade, Unequal Specialization, and the Persistence of Extractivism The Necessary Emergence of Rents Part I: Global Configurations Chapter 1: Trade, Unequal Specialization, and the Persistence of Extractivism Unequal Specialization and Development Traps Part I: Global Configurations Chapter 1: Trade, Unequal Specialization, and the Persistence of Extractivism Trade, Uneven Development, and Unequal Specialization: An Empirical Assessment to Extractivism Part I: Global Configurations Chapter 1: Trade, Unequal Specialization, and the Persistence of Extractivism The Persistence of Extractivism Part I: Global Configurations Chapter 1: Trade, Unequal Specialization, and the Persistence of Extractivism The Seduction of Extractivism Part I: Global Configurations Chapter 1: Trade, Unequal Specialization, and the Persistence of Extractivism Conclusion Part I: Global Configurations Chapter 1: Trade, Unequal Specialization, and the Persistence of Extractivism Notes Part I: Global Configurations Chapter 1: Trade, Unequal Specialization, and the Persistence of Extractivism References Part I: Global Configurations Chapter 2: Rent, Profit, Mass Consumption, or the Political Economy of Taming Rent Introduction Part I: Global Configurations Chapter 2: Rent, Profit, Mass Consumption, or the Political Economy of Taming Rent Theoretical Framework Part I: Global Configurations Chapter 2: Rent, Profit, Mass Consumption, or the Political Economy of Taming Rent Rent as the Result of Limited Capitalist Development The Limits of the Transformative Capacity of Trade Part I: Global Configurations Chapter 2: Rent, Profit, Mass Consumption, or the Political Economy of Taming Rent Rent as the Result of Limited Capitalist Development Specialization in Products with Low Price and Income Elasticities Part I: Global Configurations Chapter 2: Rent, Profit, Mass Consumption, or the Political Economy of Taming Rent Mobilizing Rent for Overcoming Rent by Development Part I: Global Configurations Chapter 2: Rent, Profit, Mass Consumption, or the Political Economy of Taming Rent Mobilizing Rent for Overcoming Rent by Development The Promotion of Industry and the Contradictions of State Classes Part I: Global Configurations Chapter 2: Rent, Profit, Mass Consumption, or the Political Economy of Taming Rent Mobilizing Rent for Overcoming Rent by Development Strengthening Mass Incomes by Redistribution and the Political Economy of Agrarian Reform A Particular Form of Mobilization of a Rent: Export-Oriented Industrialization Part I: Global Configurations Chapter 2: Rent, Profit, Mass Consumption, or the Political Economy of Taming Rent The Globalization of Rent Part I: Global Configurations Chapter 2: Rent, Profit, Mass Consumption, or the Political Economy of Taming Rent Note References Part II: Actors, Strategies, and the Politics of Rent Part II: Actors, Strategies, and the Politics of Rent Chapter 3: Uganda’s State Class and the Politics of Oil Introduction Part II: Actors, Strategies, and the Politics of Rent Chapter 3: Uganda’s State Class and the Politics of Oil State Class Theory Part II: Actors, Strategies, and the Politics of Rent Chapter 3: Uganda’s State Class and the Politics of Oil Museveni’s Varying Legitimization Strategies Part II: Actors, Strategies, and the Politics of Rent Chapter 3: Uganda’s State Class and the Politics of Oil Catering for Middle-Class Demands: Infrastructural Development and Prestige Projects Part II: Actors, Strategies, and the Politics of Rent Chapter 3: Uganda’s State Class and the Politics of Oil Fights between the State Class and the Middle Class Over the Use and Distribution of the Anticipated Rent Part II: Actors, Strategies, and the Politics of Rent Chapter 3: Uganda’s State Class and the Politics of Oil Conflicts in the Region between Subalterns and the State Class Part II: Actors, Strategies, and the Politics of Rent Chapter 3: Uganda’s State Class and the Politics of Oil Conclusion Notes Part II: Actors, Strategies, and the Politics of Rent Chapter 3: Uganda’s State Class and the Politics of Oil References Part II: Actors, Strategies, and the Politics of Rent Chapter 4: Extractivism and the Resurgence of the Agrarian Elite: The Case of Coal Mining in Cesar, Colombia Introduction Part II: Actors, Strategies, and the Politics of Rent Chapter 4: Extractivism and the Resurgence of the Agrarian Elite: The Case of Coal Mining in Cesar, Colombia Methodology Part II: Actors, Strategies, and the Politics of Rent Chapter 4: Extractivism and the Resurgence of the Agrarian Elite: The Case of Coal Mining in Cesar, Colombia Political Economy of Rent, Value Grabbing, and the Landowning Agrarian Elite Part II: Actors, Strategies, and the Politics of Rent Chapter 4: Extractivism and the Resurgence of the Agrarian Elite: The Case of Coal Mining in Cesar, Colombia Mining in Colombia Part II: Actors, Strategies, and the Politics of Rent Chapter 4: Extractivism and the Resurgence of the Agrarian Elite: The Case of Coal Mining in Cesar, Colombia Coal Mining and Agrarian Change in Cesar Part II: Actors, Strategies, and the Politics of Rent Chapter 4: Extractivism and the Resurgence of the Agrarian Elite: The Case of Coal Mining in Cesar, Colombia Mining, Land-Grab-Induced Displacement, and the Role of the Agrarian Elite Part II: Actors, Strategies, and the Politics of Rent Chapter 4: Extractivism and the Resurgence of the Agrarian Elite: The Case of Coal Mining in Cesar, Colombia Agrarian Change and the Resurgence of the Agrarian Elite Part II: Actors, Strategies, and the Politics of Rent Chapter 4: Extractivism and the Resurgence of the Agrarian Elite: The Case of Coal Mining in Cesar, Colombia Conclusion Part II: Actors, Strategies, and the Politics of Rent Chapter 4: Extractivism and the Resurgence of the Agrarian Elite: The Case of Coal Mining in Cesar, Colombia Notes References Part II: Actors, Strategies, and the Politics of Rent Chapter 5: The Patronal Politics of Regional Development Projects: Exploring Russia’s Far Eastern Rent Management Introduction Part II: Actors, Strategies, and the Politics of Rent Chapter 5: The Patronal Politics of Regional Development Projects: Exploring Russia’s Far Eastern Rent Management Conceptual Framework Part II: Actors, Strategies, and the Politics of Rent Chapter 5: The Patronal Politics of Regional Development Projects: Exploring Russia’s Far Eastern Rent Management Origins and Context of Zvezda Part II: Actors, Strategies, and the Politics of Rent Chapter 5: The Patronal Politics of Regional Development Projects: Exploring Russia’s Far Eastern Rent Management Implementation through Patronal Brokers Part II: Actors, Strategies, and the Politics of Rent Chapter 5: The Patronal Politics of Regional Development Projects: Exploring Russia’s Far Eastern Rent Management Contested Rent Management Part II: Actors, Strategies, and the Politics of Rent Chapter 5: The Patronal Politics of Regional Development Projects: Exploring Russia’s Far Eastern Rent Management Conclusion Part II: Actors, Strategies, and the Politics of Rent Chapter 5: The Patronal Politics of Regional Development Projects: Exploring Russia’s Far Eastern Rent Management Notes Part II: Actors, Strategies, and the Politics of Rent Chapter 5: The Patronal Politics of Regional Development Projects: Exploring Russia’s Far Eastern Rent Management References Part II: Actors, Strategies, and the Politics of Rent Chapter 6: Patronage Networks and the Hope for a Better Future: Coal Mining in Indonesia Introduction Part II: Actors, Strategies, and the Politics of Rent Chapter 6: Patronage Networks and the Hope for a Better Future: Coal Mining in Indonesia Coal Mining on the Rise Part II: Actors, Strategies, and the Politics of Rent Chapter 6: Patronage Networks and the Hope for a Better Future: Coal Mining in Indonesia Coal Mining on the Rise Murung Raya: Black Gold Lack of Improvements in Infrastructure, Basic Income, Education, and Health Services Part II: Actors, Strategies, and the Politics of Rent Chapter 6: Patronage Networks and the Hope for a Better Future: Coal Mining in Indonesia Coal Mining on the Rise Mining in Tumbang Batubara: Promise of a Better Future Part II: Actors, Strategies, and the Politics of Rent Chapter 6: Patronage Networks and the Hope for a Better Future: Coal Mining in Indonesia Patron-Client Relationships, the Company as ‘Steward of Good Growth,’ and the Exclusion of Opponents Part II: Actors, Strategies, and the Politics of Rent Chapter 6: Patronage Networks and the Hope for a Better Future: Coal Mining in Indonesia Conclusion Part II: Actors, Strategies, and the Politics of Rent Chapter 6: Patronage Networks and the Hope for a Better Future: Coal Mining in Indonesia Notes References Part III: Rent and Societies: Legacies, Trajectories, and Inertias Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 7: Analyzing Rentier Societies: The Case of Venezuela Introduction Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 7: Analyzing Rentier Societies: The Case of Venezuela From Rentier Economies and Rentier States toward the Analysis of Rentier Societies Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 7: Analyzing Rentier Societies: The Case of Venezuela Venezuela in the 20th Century: The Rise and Fall of a Rentier Society Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 7: Analyzing Rentier Societies: The Case of Venezuela Continuity in Change: On the Political Economy of the Bolivarian Revolution in Venezuela Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 7: Analyzing Rentier Societies: The Case of Venezuela The Distribution of Rent during the Bolivarian Revolution Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 7: Analyzing Rentier Societies: The Case of Venezuela Social Reforms and the Realignment of State the Class in Venezuela Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 7: Analyzing Rentier Societies: The Case of Venezuela The Role of the State Class Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 7: Analyzing Rentier Societies: The Case of Venezuela Venezuela in Crisis Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 7: Analyzing Rentier Societies: The Case of Venezuela Conclusion Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 7: Analyzing Rentier Societies: The Case of Venezuela Notes Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 7: Analyzing Rentier Societies: The Case of Venezuela References Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 8: Wasn’t the AKP a Developmental Coalition?: The Shifting Political Settlement of the AKP Introduction Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 8: Wasn’t the AKP a Developmental Coalition?: The Shifting Political Settlement of the AKP Promising Economic and Political Features of the Broad Settlement of the Early AKP Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 8: Wasn’t the AKP a Developmental Coalition?: The Shifting Political Settlement of the AKP Distribution and Demand Policies within the Process of Structural Change in Turkey Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 8: Wasn’t the AKP a Developmental Coalition?: The Shifting Political Settlement of the AKP The Political Economy of Financialized External Debt Led Growth in Turkey Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 8: Wasn’t the AKP a Developmental Coalition?: The Shifting Political Settlement of the AKP NIS and Active Industrial Policy vs. the Seduction of Rent Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 8: Wasn’t the AKP a Developmental Coalition?: The Shifting Political Settlement of the AKP Conclusion Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 8: Wasn’t the AKP a Developmental Coalition?: The Shifting Political Settlement of the AKP References Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 9: Resource Boom and Social Policy in Authoritarian Regimes: A Case Study of Russia Introduction Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 9: Resource Boom and Social Policy in Authoritarian Regimes: A Case Study of Russia Research Design Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 9: Resource Boom and Social Policy in Authoritarian Regimes: A Case Study of Russia Socioeconomic Development and Resource Revenues Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 9: Resource Boom and Social Policy in Authoritarian Regimes: A Case Study of Russia Social Policies Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 9: Resource Boom and Social Policy in Authoritarian Regimes: A Case Study of Russia Framing Social Policy Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 9: Resource Boom and Social Policy in Authoritarian Regimes: A Case Study of Russia Public Expectations Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 9: Resource Boom and Social Policy in Authoritarian Regimes: A Case Study of Russia Public Perceptions and Reactions Conclusion Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 9: Resource Boom and Social Policy in Authoritarian Regimes: A Case Study of Russia Notes Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 9: Resource Boom and Social Policy in Authoritarian Regimes: A Case Study of Russia References Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 10: Rents Hinder Capitalism: The Rentier Middle Classes in the Middle East Introduction Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 10: Rents Hinder Capitalism: The Rentier Middle Classes in the Middle East Rents Hinder the Emergence of Capitalist Structures and Free Markets Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 10: Rents Hinder Capitalism: The Rentier Middle Classes in the Middle East The Arab Middle Classes are Rentier Classes par Excellence Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 10: Rents Hinder Capitalism: The Rentier Middle Classes in the Middle East Crisis of the Rentier Model Part III: Rent and Societies: Legacies, Trajectories, and Inertias Chapter 10: Rents Hinder Capitalism: The Rentier Middle Classes in the Middle East Conclusion References Conclusion: Extractivism and the Seduction of Rent Conclusion: Extractivism and the Seduction of Rent Extractivism and Rent Conclusion: Extractivism and the Seduction of Rent Rent Orders Society: Toward the Seduction of Rent Conclusion: Extractivism and the Seduction of Rent Debunking the Myth of Development Conclusion: Extractivism and the Seduction of Rent Toward the Political Economy of Rent Conclusion: Extractivism and the Seduction of Rent References Index "For many countries, primarily in the Global South, extractivism - the exploiting and exporting of natural resources - is big business. For those exporting countries, natural resource rents create hope and promise for development which can be a seductive force. This book explores the depth of extractivism in economies around the world. The contributions to this book investigate the connection between the political economy of extractivism and its impact on the socio-political fabric of natural resource exporting societies in Asia, Africa, Latin America, and Eastern Europe. The book engages with a comparative perspective on the persistence of extractivism in these four different world regions. The book focuses on the formative power of rents and argues that rents are seductive. The individual contributions flesh out this seductive force of rents on different political scales and how this seduction affects a variety of actors. The book investigates how these actors react to the prevalence of rent, how they align or break with specific political and economic strategies, and how myths of resource-driven development play out on the ground. The book, therefore, underlines that rent theory bridges current debates in different area communities and offers fresh insights into extractivist societies' social, economic, and political dynamics. This book will be of significant interest to readers in political economy, political science, development studies and area studies"-- Provided by publisher