Philip Maxwell

Davis, Graham A. South American Managed Trade Policy: The Wasting of a Mineral Endowment. New York: Praeger, 1994, 168 pp.,

Acknowledgments List of Illustrations Introduction A Brief Review of the Trade Policy Debate The History of Managed Trade in South Africa A New Trade Policy: Out of the Pan and into the Fire The General Export Incentive Scheme The Regional Effects of the GEIS Delimiting the Theory of Comparative Advantage: South Africas Heckscher-Ohlin Goods A Search for Unexploited Comparative Advantage in South African H-O Manufactures The Empty Economics in South Africas Industrial Policy Summary and Conclusions Appendix A: The General Export Incentive Scheme (GEIS) Works Cited Index

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After a general decline in foreign investment in minerals development between the 1960s and the late 1980s, many African nations experienced a resurgence in exploration and mine development activities during the 1990s. This has come as many African nations relaxed investment regulations for overseas investors, and worked to develop new mineral policy regimes more generally. Having considered the decline of the mineral industry in the 1960s, 1970s and 1980s, the paper investigates some of the causes of the recent resurgence. Consideration is then given to the future of minerals and energy in Africa and the potential contribution they might make in assisting further economic development.

The Fall and Rise of African Mining

While the copper industry has had an important role in Chiles economic development for more than 150 years, a dramatic increase in copper production has provided the base for strong new growth and development since the late 1980s. The recent Chilean success supports the traditional view of the positive relationship between mineral exploitation and mineral development. As such, it provides a strong counter example to the resource curse thesis, recently proposed by several authors. Using a simple policy framework outlined by Weber‐Fahr (2002), this paper considers several of the key reasons that appear to be important to the recent Chilean success story. It then proceeds to consider how these fit in with suggested policy strategies suggested by the World Bank, and also by Ross (2001).

Chile's recent copper‐driven prosperity: does it provide lessons for other mineral rich developing nations?

Abstract Overseas mineral exploration and mining investment by Australian companies increased dramatically from the early 1990s until 1997. In the wake of the Asian economic crisis and lower commodity prices it declined somewhat in 1998 and 1999. Reflecting their international competitiveness, Australian resource companies were actively involved in projects in about eighty nations in 1999. This study assesses the extent of growth in exploration and mining operations, the distribution between large and small companies and the changing regional focus which has been occurring. It also reflects on some of the key influences on this development. These include a strong domestic finance sector, supporting mining services provision, technological competitiveness, a growing attractiveness of offshore locations and increasing structural impediments at home.

The internationalisation of the Australian mineral industry in the 1990s

Abstract Consistent growth in demand for nickel since 1950 has been more than matched by supply increments. As with several other major metals this has resulted in falling real prices. Recent decisions by new and established producers either to bring new mines on stream, or to expand production, or both, is challenging the long‐term oligopolistic nature of nickel production. Many established mines will close earlier than planned as new low‐cost production comes on stream. This study reviews major developments, reflecting on their implications for regional economic development in major producing countries such as Canada and Australia.

The coming nickel shakeout

This paper reflects upon the recent vigorous empirical and policy debate about whether significant mineral endowments are a blessing or a curse for the large number of developing nations that possess them. The traditional view argues that a large mineral endowment should be beneficial to a nations economic and social development. Proponents of the resource curse view, by contrast, contend that a combination of external market forces, internal economic stresses, and distorted policy-making is likely to lead to inferior performance by the mineral-rich nations. The recent empirical debate has occurred in three general areas: case-study-based analysis of mineral-rich economies, regression-based econometric analysis of the recent economic growth in natural resource-dependent economies, and more broadly based analyses of economic and social indicators. Despite important contributions, there is a need to consider a wider range of development indicators. If such analysis supports the work of scholars whose major interest has been in explaining variations in the GDP (gross domestic product) growth, the resource curse argument will be on stronger grounds. Using a simple conceptual framework that highlights good economic management and institutional stability, the final part of the paper seeks to reconcile key contributions to the policy debate by organizations such as the World Bank and Oxfam America.