Publications /
Policy Paper

Back
Download PDF
Managing Natural Resources for Growth and Prosperity in Low Income Countries
Authors
Hinh T. Dinh
Russel Dinh
January 28, 2016
Related topics: 

This paper reviews the economic impact of natural resources on low-income countries and the policy options available to them as recommended by academia and international organizations. We find that traditional policy prescriptions are unrealistic and miss a number of issues that include what to do when resources are depleted, job creation for growth and prosperity, and heterogeneity in country conditions. The paper proposes to reconcile these problems by advocating a strategy based on new structural economics, with a special focus on economic growth and job creation using the proceeds of natural resources. This approach combines “learning by doing” with targeted public investment in order to develop infrastructure and human capital. For many low-income countries, development of simple, labor-intensive light manufacturing is the recommended path. This recommendation is elaborated in a case study of South Sudan, a poor, resource-rich country in Africa.

RELATED CONTENT

  • Download PDF
    MERCOSUR experience in regional integration: what could Africa learn from it?
    Authors
    Pedro da Motta Veiga
    Sandra Polónia Rios
    June 25, 2019
    MERCOSUR is almost thirty years old. The project has achieved relevant accomplishments, but it has also accumulated many unfulfilled objectives and even some setbacks. It began with a very ambitious goal: the constitution of a common market. This ambition was quickly reduced to a customs union project, still a far-reaching objective. Africa, by its side, has undergone, since many decades, relevant regional and sub-regional integration experiences, some of which share the ambitions o ...
  • Morocco and Brazil: Perspectives for a Strengthened Relationship
    Authors
    Pedro da Motta Veiga
    Sandra Polónia Rios
    June 24, 2019
    The cooperation between Brazil and Morocco dates back to the 19th century, when Moroccan migrants came to Brazil attracted by the then booming exploration of rubber in the Amazon rainforest. In 1861, the Brazilian government opened its first consulate in Tangier.  But it was only since 1961, with the Moroccan independence, that the bilateral relations began to diversify. At the political sphere, there has been a fluid dialogue, driven by convergent views on several issues related t ...
  • Explaining the role of commodity traders: A theoretical approach
    Authors
    Raphaël Chiappini
    Yves Jégourel
    June 22, 2019
    Empirical models of international commodity trade ows tend to show that exchange rate volatility has either no or negative impact on export volumes. This analysis has a number of limitations. In particular, it underestimates the role of physical traders and, consequently, the importance of future markets. In this context, this article aims to provide the theoretical underpinnings to demonstrate that these traders play a very particular role and that they have an influence on the rea ...
  • Partager Sanctions: America's Chokehold
    Authors
    Helmut Sorge
    June 21, 2019
    The New York Times reported this morning that after the shot down of an U.S. drone by Iranian forces, President Trump ordered military retaliation, but called it off in the early phase. Below is a facts' review through the international press perspectives. “You are pushing everyone towards a confrontation” Unusually, the satellite images were not presented to the media. Possibly, the photos were taken from a submarine, or there was fear that the enemy could figure out who and how ...
  • A New World Order with Chinese Characteristics
    Authors
    Marcus Vinicius de Freitas
    June 20, 2019
    The world is navigating through turbulent waters, witnessing one the most significant transitions ever in its history. With the ascension of China and the steady decline of the United States, there is a general sense of insecurity and fear about the future and the unknown. Change is never a comfortable period due to the turmoil it frequently generates. The relationship between the United States and China will never be the same, but it will not end up in war, as some expect. China is ...
  • Stratégie américaine dans l’Indo-Pacifique: La théorie réaliste, encore et toujours
    Authors
    Abdelhak Bassou
    June 19, 2019
    Les Etats-Unis ont alternativement défendu le système westphalien et fustigé ses principes d’équilibre des forces et de non-ingérence dans les affaires intérieures d’autrui en les prétendant immoraux et démodés. Il leur est même arrivé de faire les deux à la fois. Ce qui ne les empêche pas de continuer à affirmer la validité universelle de leurs valeurs pour l’édification d’un ordre mondial pacifique et de se réserver le droit de les soutenir à l’échelle planétaire. Henri Kissinger ...
  • Download PDF
    The Geopolitics of the Renminbi Evolution
    Authors
    Marcus Vinicius de Freitas
    June 17, 2019
    There is no doubt that the ascension of China, which is at the centre of the global debate, is the most relevant fact of the 21st century. A rising power with many vulnerabilities, yet a clear understanding of what they are and with the willingness to actively reduce them to a minimum, manageable level. China has managed to become, after all, the second largest economy in the world, with outstanding economic performance. Globalisation has brought China from the periphery into the co ...