Long-run development in Chile and natural resource curse
This chapter analyses the effects of natural resources on the Chilean economy in the long run (1850–1950). Specifically, the authors focus their attention on the mining cycles (nitrates and copper) and their impact on the mining activity. We also compare it with the evolution of the industry and whole economy, and how this has affected the economic growth of the country. In that sense, the industrial performance in Chile at the end of the nineteenth century until the Great Depression is still under debate. The optimistic view of Kirsch (1977) is against the pessimistic view of Lagos (1966) and Palma (1979). The new data and its analyses show a neutral effect of the natural resources in the industrial development.