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Fossil fuel subsidy reform, rent management and political fragmentation in developing countries
Over the last decade, pressure to reduce subsidies for energy (especially fossil fuels) in developing countries has mounted, but reform is politically controversial. The debate on reform is dominated by a liberal narrative that employs an understanding of energy subsidies as political rent, based on public choice theory. Here, it is argued that this approach takes too static and limited a view of rent, and that engagement with theories of the state in the development process suggests a more dynamic view. The degree of centralisation of political power is also argued to be a key factor in the use and reform of subsidy. This application of the framework is then illustrated in the case of Indonesia. Finally, implications for reform strategies are drawn out.
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Publication status
- Published
File Version
- Published version
Journal
New Political EconomyISSN
1356-3467Publisher
Taylor & FrancisExternal DOI
Issue
4Volume
20Page range
475-494Department affiliated with
- SPRU - Science Policy Research Unit Publications
Full text available
- No
Peer reviewed?
- Yes
Legacy Posted Date
2019-02-11First Compliant Deposit (FCD) Date
2019-02-07Usage metrics
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