Se publicó el artículo “Large-scale mining in a small developing country: macroeconomic impacts of revenue allocation policies”, Resources Policy 46 (2016), pp. 433- 443.

Autores:

Cecilia Llambi, Marcelo Perera, Flavia Rovira, Carmen Estrades

Abstract

If fulfilled, the plan to start exploiting iron ore reserves at a large-scale in Uruguay would attract the country’s largest foreign direct investment and would change the productive structure of the country, historically based on agricultural and livestock production. The prospective of large-scale mining could increase public revenue by taxing the activity. However, as the “natural resources’ curse” hypothesis states, there may be some negative effects associated to the exploitation of natural resources: Dutch disease phenomenon, high-income volatility of resources, rent seizing, among others. The aim of this paper is to assess the impact that the exploitation of iron ore reserves might have on the Uruguayan economy, and to discuss different policy options in order to make use of funds derived from the activity. To do so, we apply a dynamic general equilibrium model, and we simulate different revenue allocation policies. Our results show that, even when the exploitation of iron ores reserves might lead to an appreciation of the domestic currency and thus have a negative impact on traditional export sectors, the magnitude of the effect would not be significant, and it would not adversely affect the long-term growth rate. The negative impact can be mitigated with the creation of an intergenerational investment fund, especially when a higher part of it is destined to foreign assets. Destining a high part of the fund to investment in infrastructure also contributes to boost the growth in GDP linked to the introduction of a large-scale mining activity in the country.

Acceder al artículo

Más vistos

Apertura de inscripciones | Curso de «Ciencia de Datos con R»

El Centro de Investigaciones Económicas anuncia la apertura de inscripciones para el curso: Ciencia de Datos con R a realizarse durante el próximo mes de octubre. El...

Caída interanual de más del 10% en el segundo trimestre

El Banco Central del Uruguay (BCU) publicó hoy el Informe de Cuentas Nacionales (CC.NN.) correspondiente al segundo trimestre de 2020, primer trimestre en transcurrir...

Entre bloques de construcción rosados y azules

Nuevo artículo en Blog SUMA: Autora:  Fedora Carbajal | Investigadora de Cinve | Máster en Economía por la Universidad Nacional de La Plata, Argentina  |...

Julio: séptima caída interanual consecutiva del núcleo industrial

Según los datos publicados el viernes 11 del presente mes por el INE, tanto la producción de la industria manufacturera total como la de...

Curso de «Ciencia de Datos con R»

Los objetivos principales de este curso son: ~ Capacitar en el manejo avanzado de R para el procesamiento y análisis gráfico de bases de datos. ~...

Noticias relacionadas