Resource wealth and non-democratic regimes: The resurgence of Sultanism

As the price of oil has risen, the effect of resource wealth on countries around the world has become increasingly important. Previous studies have shown that countries dependent on oil exports tend to be less democratic and more prone to civil unrest, but have not clarified what kind of non-democratic state is produced or why. This paper examines the role of resource wealth in regime creation in Russia, Venezuela, and Kazakhstan and concludes that in a resource-rich state undergoing a period of political instability, Sultanism---a highly personalistic, corrupt, despotic form of governance---is most likely to emerge. This is a result of weak institutionalization and high resource rents which allow a leader to use oil wealth to spread his influence into all arenas of society. The paper also seeks to explain how some states (Norway and Chile) have managed to avoid this form of regime.