A growing body of research suggests that rather than serving as a boon for development, major fuel discoveries tend to spawn corruption and economic instability in countries that lack strong financial institutions and legal systems. More recent research suggests that these effects are not only reserved for the period after governments receive windfalls from fossil fuels. In what’s called the “presource curse,” the anticipation of oil and gas revenues may engender corruption and lead governments to prematurely restructure their economies and pile on debt.
conflict of interest
A conflict of interest is a situation where an individual or corporate entity is invited to act on behalf of one party, but has an actual or potential relationship with or interest in the other party or parties.