Introduction and Overview: Blessing or Curse? Financing Social Policies in Mineral-Rich Countries

The role of domestic policy coalitions in extractive industries' governance: Disentangling the politics of “responsible mining” in the Philippines

“…The World Bank set out a series of policy recommendations that would constitute as best practices in mining governance. “Responsible mining” is defined by the idea that extractive industries can become a tool for socially progressive economic growth through the introduction of stronger legal and fiscal frameworks, social redistributive measures, measures to curb rent‐seeking and corruption, and adopting more stringent environmental policies to mitigate the environmental impacts of mining on communities and territories (Alba, 2009; Heilbrunn, 2014; Hujo, 2012; Kleibrink, 2011; World Bank, 2012, 2013). The Bank's approach to poverty reduction in extractive sectors became instrumental in the consolidation of the new global norm, “responsible mining,” as a way of justifying the Bank's continuing participation in the resource extraction.…”

“…Responsible mining as a global regulatory norm. Source: Authors' compilation based on a survey of the literature, notably Alba (2009), Hujo (2012), & Heilbrunn (2014) [Color figure can be viewed at wileyonlinelibrary.com]…”

Human Rights Trade-Offs in a Context of “Systemic Lack of Freedom”: The Case of the Smelter Town of La Oroya, Peru

“…This industry has in fact become the principal motor of macroeconomic development in the country. 1 As in many other countries rich in natural resources, the rents and revenues of the extractive industry are deemed vital for the implementation of social policies intended to redistribute wealth nationwide and, consequently, to reduce poverty, and to facilitate equality and social inclusion (Rosser 2009;Hujo 2012). Paradoxically, extraction-based development has contributed to exacerbating the vulnerability of individuals and communities located in the vicinity of extractive projects that affect, among other human rights, their traditional livelihoods, environment, and culture (Scurrah 2009;Finner and Martínez-Orta 2010;Bebbington and Bury 2013).…”

Environmental Governance in Latin America

“…The evidence of countries rich in natural resources shows that -under certain conditions -they could achieve high income levels, relative equality, and a great degree of economic diversification, and that they are democracies. More importantly, these achievements have occurred among developed countries (Canada, the USA, the UK, Australia, Norway) as well as emerging countries (Brazil, Chile, South Africa, Indonesia) and developing countries (Botswana is typically the most cited example, but increasingly Bolivia and Ecuador are mentioned as well) (Dunning, 2008;Gylfason, 2012;Hujo, 2012;Thorp et al, 2012).…”

“…The evidence of countries rich in natural resources shows that -under certain conditions -they could achieve high income levels, relative equality, and a great degree of economic diversification, and that they are democracies. More importantly, these achievements have occurred among developed countries (Canada, the USA, the UK, Australia, Norway) as well as emerging countries (Brazil, Chile, South Africa, Indonesia) and developing countries (Botswana is typically the most cited example, but increasingly Bolivia and Ecuador are mentioned as well) (Dunning, 2008;Gylfason, 2012;Hujo, 2012;Thorp et al, 2012).The second area of criticism has to do with the double directionality of the effects of rents from natural resources. A boom of natural resources can have a favourable effect on authoritarianism or on democracy; it can augment the interest of predatory elites who are in control of the state to preserve their control over the distribution of income (Acemoglu and Robinson, 2010); and it can simultaneously mitigate the redistribution of private income, thus increasing the appeal of democracy (Dunning, 2008).…”