Sara Torregrosa Hetland
Senior lecturer
Natural Resources Curse in the Long Run? Bolivia, Chile and Peru in the Nordic Countries’ Mirror
Author
Summary, in English
The new estimates of the Maddison Project show that GDP per capita ratio at purchasing power parity (ppp) between Bolivia and Finland has changed from 0.68 ca. 1850 to 0.16 in 2015; similarly, that between Chile and Norway from 0.65 to 0.28. The aim of this article is to present a review of the literature and available quantitative evidence to understand how these extreme differences became possible between countries with similarly enormous natural resource endowments. Specifically, the article seeks to: (a) identify some stylized facts that may help understand the divergence between Andean and Nordic countries; (b) identify key historical processes that explain the divergent effect of natural resource abundance in Andean and Nordic economies. In order to achieve these objectives, four topics are covered: GDPpc, population, trade and taxation. The analysis comprises three Nordic countries (Finland, Norway and Sweden) and three Andean countries (Bolivia, Chile and Peru) from the mid-Nineteenth Century to present day. The sample size, time span covered and thematic approach provide new evidence regarding previous work.
Department/s
- Department of Economic History
Publishing year
2018-03
Language
English
Publication/Series
Sustainability
Volume
10
Issue
4
Document type
Journal article
Publisher
MDPI AG
Topic
- Economic History
Status
Published
Project
- Sustainable development, Fiscal policy and Natural resources management. Bolivia, Chile and Peru in the Nordic countries’ mirror
ISBN/ISSN/Other
- ISSN: 2071-1050