Exploring economic development and mineral rents nexus across BRICS nations: Fresh insights from multiple threshold panel analysis

The nexus between economic development and mineral rent across Brazil, Russia, India, China, and South Africa (BRICS) is empirically tested by using multiple threshold panel analysis. This paper focuses on the association and correlation among Mineral Rents (% of GDP) and Gross Domestic Product per capita along with Foreign Direct Investment (FDI), Trade, and Renewable Energy Consumption per Capita, by using the data sets for the period 1994-2021. Dynamic Liner Model and Double Threshold models are used for empirical testing of the above variables. The Dynamic Liner Model identified the positive influence of trade and FDI on mineral rent; and the Double Threshold models identified the negative influence of GDP, trade, and FDI on mineral rent. The findings contribute to the literature about mineral rent and economic growth. Moreover, the findings of this paper help in planning policies and interventions for inclusive and sustainable economic development, GDP enhancement, promotion of trade, and FDI in Brazil, Russia, India, China, and South Africa (BRICS) by considering mineral rent management. This paper also recommends considering the mineral rent taxation, mineral royalty, mine-community conflicts, corruption, institutional development, politics, and environmental issues before policy implementation and reforms related to economic development, GDP enhancement, promotion of trade, and FDI in BRICS.