Produção de petróleo e desenvolvimento socioeconômico: o caso de municípios do Rio Grande do Norte

Abstract

This Oil wealth can foster social inequality if not properly managed. This is due to the migration of production factors from different economic activities to the oil sector. As a result, unemployment, poverty, political instability, a reduction in development, among other undesirable effects on society, may arise. With that in mind, this research evaluates the government’s role regarding the socioeconomic development of the oil producing municipalities in Rio Grande do Norte State (RN), the largest onshore producer in Brazil. The research uses panel regression for it allows a broad analysis of the space and time dimensions. In addition, it relies on statistical testing at all stages to make the research analysis more appropriate and consistent. The proposed model has revealed better socioeconomic development indicators in municipalities where the local Government made public savings as reserve funds. Furthermore, the results show that appropriate savings management allows municipal governments to design public policies to provide future generations with socioeconomic benefits, in line with the royalties’ purposes.