IDEAS home Printed from https://ideas.repec.org/a/eee/jrpoli/v60y2019icp143-152.html
   My bibliography  Save this article

Correction of Chilean GDP for natural capital depreciation and environmental degradation caused by copper mining

Author

Listed:
  • Mardones, Cristian
  • del Rio, Ricardo

Abstract

Sustainable development requires that natural resources be exploited optimally, especially in developing countries like Chile that depend heavily on the export of non-renewable resources (ex. 55% of Chilean exports are products of copper mining). Therefore, this paper estimates a corrected version of the Gross Domestic Product (GDP) of Chile that accounts for the depreciation of natural capital, the environmental degradation due to the emission of atmospheric pollutants and the exploration expenses of copper mining during the period between the years 1995 and 2015. The results obtained show that, on average, GDP and mining GDP are overestimated by 11.34% and 98.04%, respectively. The high magnitude of the adjustment reflects the importance of incorporating the depreciation of natural resources and environmental degradation into the traditional indicators used to measure the country's economic activity, especially for those sectors that are based on the extraction of non-renewable resources and produce strong negative externalities.

Suggested Citation

  • Mardones, Cristian & del Rio, Ricardo, 2019. "Correction of Chilean GDP for natural capital depreciation and environmental degradation caused by copper mining," Resources Policy, Elsevier, vol. 60(C), pages 143-152.
    • Handle: RePEc:eee:jrpoli:v:60:y:2019:i:c:p:143-152
    DOI: 10.1016/j.resourpol.2018.12.010
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0301420718300680
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.resourpol.2018.12.010?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Basu, Rahul & Pegg, Scott, 2020. "Minerals are a shared inheritance: Accounting for the resource curse," MPRA Paper 102270, University Library of Munich, Germany.
    2. Elena Stupnikova & Tatyana Sukhadolets, 2019. "Construction Sector Role in Gross Fixed Capital Formation: Empirical Data from Russia," Economies, MDPI, vol. 7(2), pages 1-16, May.
    3. Shah, Wasi Ul Hassan & Hao, Gang & Yan, Hong & Yasmeen, Rizwana & Xu, Xiaowei, 2024. "Natural resources utilization efficiency evaluation, determinant of productivity change, and production technology heterogeneity across developed and developing G20 economies," Technology in Society, Elsevier, vol. 77(C).
    4. van Krevel, Charan, 2021. "Does natural capital depletion hamper sustainable development? Panel data evidence," Resources Policy, Elsevier, vol. 72(C).
    5. Doussoulin, Jean Pierre & Mougenot, Benoit, 2022. "Mapping mining and ecological distribution conflicts in Latin America, a bibliometric analysis," Resources Policy, Elsevier, vol. 77(C).
    6. Leiva, Benjamin, 2020. "Natural resource rent allocation, government quality, and concession design: The case of copper in Chile," Resources Policy, Elsevier, vol. 68(C).
    7. Li, Lin & Du, Le, 2024. "Impact of natural resources, financial innovation, and policy robustness on economic growth: A study of China and India," Resources Policy, Elsevier, vol. 93(C).
    8. Bazhanov, Andrei V., 2022. "A comment on Hamilton (2016) “Measuring sustainability in the UN System of Environmental-Economic Accounting”," Resources Policy, Elsevier, vol. 76(C).
    9. Xinyu Zhuang & Xin Li & Yisong Xu, 2022. "How Can Resource-Exhausted Cities Get Out of “The Valley of Death”? An Evaluation Index System and Obstacle Degree Analysis of Green Sustainable Development," IJERPH, MDPI, vol. 19(24), pages 1-29, December.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jrpoli:v:60:y:2019:i:c:p:143-152. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/30467 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.