Resource Abundance and Economic Development
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The chapters in this collection draw upon historical analysis and models to show that a growth collapse is not the inevitable outcome of resource abundance and that policy counts. Malaysia, a rare example of successful resource-abundant development, is contrasted with Ghana, Bolivia, Saudi Arabia, Mexico, and Argentina, which all experienced a growth collapse. The book also explores policies for reviving collapsed economies with reference to Costa Rica, South Africa, Russia and Central Asia. It demonstrates the importance of initial conditions to successful economic reform.
Since the 1960s the economies of the resource-poor nations have grown much faster than those of the resource-abundant nations. This book explains the disappointing performance of resource-abundant nations by extending the growth accounting framework to include natural and social capital.
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