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Mining the North: Local impacts

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  • Frederiksen, Anders
  • Kadenic, Maja Due

Abstract

In this paper, we study how mine openings change local societies in the Nordic countries. Our study is based on register data at the municipality level from Norway, Sweden, and Finland. We document that a mine opening increases employment in the municipality where the mine is located and that the demand shock has a direct effect on the mining sector and propagates to other industries. Our results also reveal that mine openings increase the population, both in the municipality where the mine is located and in the surrounding region. Finally, we document that a mine opening increases the male share of the population of the municipalities, gives it a more pronounced U-shaped age profile, and that all education groups increase in size; the numbers, however, are larger for people with lower-level educations.

Suggested Citation

  • Frederiksen, Anders & Kadenic, Maja Due, 2020. "Mining the North: Local impacts," Labour Economics, Elsevier, vol. 63(C).
    • Handle: RePEc:eee:labeco:v:63:y:2020:i:c:s0927537119301265
    DOI: 10.1016/j.labeco.2019.101790
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    References listed on IDEAS

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    Cited by:

    1. Zabré, Hyacinthe R. & Farnham, Andrea & Diagbouga, Serge P. & Fink, Günther & Divall, Mark J. & Winkler, Mirko S. & Knoblauch, Astrid M., 2021. "Changes in household wealth in communities living in proximity to a large-scale copper mine in Zambia," Resources Policy, Elsevier, vol. 74(C).

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    More about this item

    Keywords

    Mining; Employment effects; Inter-industry spillovers; Socioeconomic effects; Resource development; Nordic countries;
    All these keywords.

    JEL classification:

    • J20 - Labor and Demographic Economics - - Demand and Supply of Labor - - - General
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • O20 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - General

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