The Interaction of Good Governance and Abundance of Natural Resources on Total Factor Productivity in Selected Petroleum Exporting Countries

Limitation of production factor caused Increase in productivity as the most important priority in the process of achieving economic growth and development. So that the share of "increased productivity" in the growth of national production of developing countries is more than the share of "increased Quantity inputs". But empirical evidence shows that most selected petroleum exporting countries due to low productivity of factors of production are deprived of achieving a stable and continuous economic growth. In this study, we tried the crossover effect of natural resources abundance and good governance indexs on total factor productivity in fifteen selected countries for the period 1996-2015. The research model using panel data and the generalized method of moments (GMM) was estimated. The estimation results show the crossover effect of abundance natural resources and all indexs of good governance on total factor productivity the in selected countries have had a positive and meaningful effect.