Natural Resources – A curse or blessing

After World War II, it has been observed that natural resources are less often a blessing than a curse. Research states that “natural resource wealth is either a “curse” or a “blessing”. It’s amenable to vary through public policy, namely, human capital formation and economic openness.” In theory, natural resources should be a ‘blessing’ for the country where they’re located. The existence of grease, gas, coal, and minerals should be a bounty for the government. And boost the economy. Eventually, exports of natural resources cause an inflow of foreign currency. Countries with oil, mineral, or other resources didn’t show better economic performance than those without it in the absence of side effects. This will be the phenomenon called the natural resources Curse.

Are Natural Resources good or bad for development?

Resources have different effects on the institutional environment. If institutions are good, it has a positive effect on economic outcomes, if institutions are bad, resources like gold or diamonds are more “dangerous” for the process. The role of natural resources in a country’s economic development. Natural resources, both renewable and non-renewable are a part of the important wealth. It contributes towards income generation and poverty reduction.

How do natural resources affect development?

Natural resources have a double-edge effect on the process in which the intensity of its use raises output and at the same time that usage increases its depletion rate. The resource may well be a key input within the assembly process that stimulates the process.

How can we protect our natural resources?

Simple choices for a healthier planet.

  1. Reduce, reuse, and recycle.
  2. Volunteer. Volunteer for clean-ups in your community.
  3. Educate.
  4. Conserve water.
  5. Choose sustainably.
  6.  Shop wisely.
  7. Use long-lasting light bulbs.
  8. Plant a tree.

Characteristics of a sustainable city.

  • Resources and services within the town are accessible to any or all or any.
  • Conveyance is seen as a viable alternative to cars.
  • Conveyance is safe and reliable.
  • Walking and cycling are safe.
  • Open spaces are safe, accessible, and enjoyable.

Three factors for a sustainable and lively city

  • The characteristics of the liveability of cities.
  • It includes land use, built form, quality, and conservation of public spaces and natural environments, the efficiency of transport networks, accessibility to work, education, health, and community services.
  • Social and recreational opportunities.

How does the government generate revenue by exploiting natural resources in their territories?

Governments are auctioning exploration and exploitation rights and earning revenue from companies willing to pay. Governments may earn from charging concession fees to companies when a resource field has been already appraised. A business venture that aims to take advantage of the natural resources, claiming a share of the assembly extracted from the resource field. In theory, natural resources should be a ‘blessing’ for the country where they’re located: the very existence and access to grease, gas, coal, and minerals should be a bounty for the government. And boost the economy. The actual fact is often quite different, and plenty of resource-rich countries fare far worse in terms of public finances and economic development than many other, resource-poor countries. Are natural resources a “curse” or a “blessing”? The empirical evidence suggests outcome is possible. The paper surveys suggest a benefit for a few countries from the presence of natural resources. Resource-rich developing economies are unable to convert their depleting resources into productive assets. The survey also suggests some welfare-based resource windfalls in developed and developing economies.

Rishikesh Manuprasad Upadhyay

Comments

No comments yet. Why don’t you start the discussion?

Leave a Reply

Your email address will not be published. Required fields are marked *