ABSTRACT

It is widely believed that natural mineral resources are desirable. However there is growing evidence that this may not always be the case. Indeed, it seems that natural assets can distort the economy to such a degree that the benefit actually becomes a curse.
In Sustaining Development in Mineral Economies, Richard Auty highlights these drawbacks and the devastating effect they can have on developing economies. With reference to six ore-exporters (viz. Peru, Bolivia, Chile, Jamaica, Zambia and Papua New Guinea) he outlines how things can go badly wrong. He particularly stresses the need to avoid `Dutch Disease' whereby competitiveness is drained out of the agriculture and manufacturing sectors so that in the long term growth falters.

part |2 pages

Part I COPING WITH MINERAL PRICE DOWNSWINGS

chapter 2|16 pages

MANAGING MINERAL ECONOMIES

The literature

chapter 3|17 pages

THE EARLY 1970s PRE-CONDITIONS

chapter 4|25 pages

GROWTH AND STRUCTURAL CHANGE, 1973–90

part |2 pages

Part II

chapter 5|18 pages

BOLIVIA

Accelerating weakness despite positive external shocks

part |2 pages

Part III

part |2 pages

Part IV INTER-CULTURAL COMPARISON

chapter 11|17 pages

PAPUA NEW GUINEA

A new entrant neglects structural change

part |2 pages

Part V CONCLUSIONS AND POLICY IMPLICATIONS

chapter 13|18 pages

MINING AND SUSTAINED DEVELOPMENT