The paper challenges the "resource curse" hypothesis, which suggests that resource-rich countries tend to grow more slowly than resource-poor ones. The authors argue that the paradox is a "red herring" and that the commonly used measure of resource abundance is more accurately interpreted as a proxy for resource dependence, which is endogenous to institutional factors. Through multiple regressions, they find that resource dependence does not affect growth, while resource abundance positively affects growth and institutional quality. They also find that the form of government (presidential vs. parliamentary) is more relevant than the electoral system in determining resource dependence. The paper concludes that resource abundance is a blessing for both institutional and economic development, not a curse. The results are robust when the sample is restricted to democracies. The authors suggest that the traditional resource dependence variable is only a weak proxy for true resource abundance. The paper also highlights the importance of institutional quality in economic development and shows that better institutions lead to less resource dependence. The findings challenge the prevailing consensus on the resource curse and suggest that the relationship between resources and economic growth is more complex than previously thought.The paper challenges the "resource curse" hypothesis, which suggests that resource-rich countries tend to grow more slowly than resource-poor ones. The authors argue that the paradox is a "red herring" and that the commonly used measure of resource abundance is more accurately interpreted as a proxy for resource dependence, which is endogenous to institutional factors. Through multiple regressions, they find that resource dependence does not affect growth, while resource abundance positively affects growth and institutional quality. They also find that the form of government (presidential vs. parliamentary) is more relevant than the electoral system in determining resource dependence. The paper concludes that resource abundance is a blessing for both institutional and economic development, not a curse. The results are robust when the sample is restricted to democracies. The authors suggest that the traditional resource dependence variable is only a weak proxy for true resource abundance. The paper also highlights the importance of institutional quality in economic development and shows that better institutions lead to less resource dependence. The findings challenge the prevailing consensus on the resource curse and suggest that the relationship between resources and economic growth is more complex than previously thought.