Reply #3: resource curse

[seemslikeadream]

It's no coincidence that developing countries rich in gold and diamonds have the poorest populations. According to the Worldwatch Institute, "Mineral dependence has been shown to slow and even reduce economic growth in developing countries — a phenomenon economists have dubbed 'the resource curse.'" In Africa, for example, 60 percent of all private investment goes to the mining sector, and extracting raw materials for export provides no added value. Countries like the Philippines are left with a dwindling patrimony and a legacy of environmental degradation.

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