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Article: Natural resources and regional development: An assessment of dependency and comparative advantage paradigms
- Article from:
- Economic Geography
- Article date:
- January 1, 2003
- Author:
CopyrightCopyright Economic Geography Jan 2003. Provided by ProQuest LLC. (Hide copyright information)
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Abstract: The role of natural resources in regional development is the subject of a debate between dependency theorists, who argue that natural resources impede development, and comparative-advantage theorists, who argue that resources can expedite development. This debate is assessed by a case s
tudy analysis of the impact of resource development on a regional economy. The case study uses a model to estimate the comparative advantage of the resource sector. The results show that natural resources have the potential to provide a significant comparative advantage relative to other economic sectors by virtue of generating resource rent, which is a surplus above normal returns to other factors ...