Extractive industry revenues and the subnational resource curse: The case of the Peruvian Andes

Hoyos, Sandra Carrillo

doi:10.1016/j.exis.2019.06.001

Cited by 4 publications

(4 citation statements)

References 30 publications

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“…However, a variety of potential causes have been identified that may contribute to a resource curse on the subnational level. These include, among others, local dependence on extractive revenues (Arellano-Yanguas and Mejía-Acosta, 2014;Bradshaw, 2006), the inefficient use of revenues (Carrillo Hoyos, 2019;Karl, 1997;Lawer et al, 2017;Ponce and McClintock, 2014), conflicts (Avcı and Fernández-Salvador, 2016;Gutiérrez Rodríguez, 2019;Paredes, 2016;Stammler and PEskov, 2008), and the environmental impact of resource extraction (Aragón and Rud, 2012;Porgo and Gokyay, 2017;Suutarinen, 2015;Tietenberg and Lewis, 2016).…”

Section: Related Literaturementioning

confidence: 99%

The Local Impact of Mining in Peruvian Districts: Evidence of a Subnational Resource Curse?

Bahlburg

2023

IJEEP

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In the early 2000s, Peru experienced a major mining boom as global prices skyrocketed. At the same time, the country implemented a revenue-sharing arrangement between the national government and subnational governments, to redistribute the newly gained financial windfalls. Using census as well as survey data, we compare producing and non-producing districts in order to determine the effects of mining transfers on local development. We find evidence that producing districts were characterized by better development than non-producing districts before the establishment of a transfer of mining rents (the so-called Canon Minero). These effects persist when comparing districts over time. Concerning the effect of Canon Minero transfers on local development, we find that these transfers, through district governments’ expenditures, contribute to a reduced poverty rate and increased per capita consumption when comparing producing as well as non-producing districts in producing provinces to non-producing districts in non-producing provinces.

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Section: Related Literaturementioning

confidence: 99%

The Local Impact of Mining in Peruvian Districts: Evidence of a Subnational Resource Curse?

Bahlburg

2023

IJEEP

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“…Typical of the 'resource curse', municipalities and communities located in an extractive economy dominated environment tend to be under-developed despite provision of labour from the host communities for the multi-national mining companies. Lack of capacity fuels the resource curse that enriches political elites at the expense of ordinary citizens (Busse & Gröning, 2013;Hoyos, 2019). Thus, to some extent social and economic development of rural municipalities are intrinsically intertwined with the migratory labour setting.…”

Section: Capacity Development Enablers and Disablers In The Context Local Governmentmentioning

confidence: 99%

“…Challenges of co-ordination of stakeholder interests in an inter-municipal cooperation due to the uneven spread of accountability among local municipalities can weaken initiatives to enhance capacity development and service delivery. However, the use of a collaborative municipal owned cooperation with the private sector could encourage the transfer of skills and heighten competitive public-private partnership that Recent literature hones in on inter-municipal co-operation (Allers & de Greef, 2018;Soukopová & Vaceková , 2018), employee pursuance of public interest (Huang & Feeney, 2016) and political elitism (Busse & Gröning, 2013;Hoyos, 2019). On the other hand earlier studies delve on rural-urban nexus (Lohnert & Steinbrink, 2005;Steinbrink, 2010) and remittance system (Adaawen & Owusu, 2013;Amoako & Apusigah, 2013;Lohnert & Steinbrink, 2005;Mayer & Mayer, 1971;Sana & Massey, 2005;Stark, 1991).…”

Section: Capacity Development Enablers and Disablers In The Context Local Governmentmentioning

confidence: 99%

Local Government Capacity Development: A Case Study of a South African District Municipality

Mphahlele¹,

Zandamela

2021

JPAG

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Bojanala Platinum District Municipality (BPDM), in the North West Province is endowed with the extractive economy. The District experiences challenges of capacity development of service delivery structures and programmes. It is in this context that this paper explains how local government responses to challenges of capacity development in the District Municipality. In addition, the paper explores ways in which they can be overcome for enhanced service delivery. The purpose of this study is to examine challenges related to the use of capacity development structures and programmes related to service delivery and explores how to overcome them. The study examines the structures and programmes, facilitators and inhibitors of skills development and performance initiatives within the context of local government capacity development. This study develops a theoretical framing incorporating scholarship on human capital and performance improvement in the context of local government. This framing is premised on the scholarly evidence that capacity development is an enabler of service delivery, influenced by skills development and municipal performance improvement. The research is a single case qualitative case study approach and employs an interpretative paradigm. The paper employs senior managers in the municipalities as the unit of analysis. That study reveals that there are difficulties associated with skills retention and organisational relations. In conclusion, political abandonment, poor communication and stakeholder engagements contribute to weakened inter-municipal co-operation and inadequate use of resources. The interface between learning and skills development contributes to the body knowledge.

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“…This can manifest as the subnational resource curse, which refers to the regional distribution of fiscal resources being marked by inefficiencies and corruption. Hoyos (2019) demonstrated this in Peru. 70 Another critical element of the capacity to manage revenue in mineral-rich countries is the role of sovereign wealth funds (SWFs).…”

Section: Public Investments and The Capacity To Manage Oil Revenuementioning

confidence: 83%

Dutch disease-led de-industrialization in the Azerbaijan’s economy

Niftiyev

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Extractive industry revenues and the subnational resource curse: The case of the Peruvian Andes

Cited by 4 publications

References 30 publications

The Local Impact of Mining in Peruvian Districts: Evidence of a Subnational Resource Curse?

The Local Impact of Mining in Peruvian Districts: Evidence of a Subnational Resource Curse?

Local Government Capacity Development: A Case Study of a South African District Municipality

Dutch disease-led de-industrialization in the Azerbaijan’s economy

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