Global dependence on oil has not only radically transformed our economies, but also altered domestic and international politics of consuming and producing countries. It has left consuming countries... Show moreGlobal dependence on oil has not only radically transformed our economies, but also altered domestic and international politics of consuming and producing countries. It has left consuming countries exposed to threats of supply disruption and price escalation; and it has made producing countries, especially countries that heavily rely on selling oil abroad for national income, vulnerable to sanctions. Thus, understanding how relations of oil dependence affect politics is not only theoretically important but also highly relevant for policymakers. The dissertation offers a new theoretical framework, called neo-rentier theory, for understanding the relationship between oil dependence and security strategies of oil producing countries known as rentier states. Neo-rentier theory suggests that oil dependence—defined in terms of opportunity costs—translates into different patterns of dependence between a rentier state and consumers/producers. Different patterns of dependence affect the flow of oil revenues to a rentier state and its ability to manipulate supplies and price. In consequence, different patterns of dependence condition the types and intensity of security strategies that rentier states are likely to pursue. The plausibility of neo-rentier theory is illustrated by drawing on the history of Saudi Arabia in the period 1950-2000. Show less
