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How do “Mineral-States” Learn? Path-Dependence, Networks, and Policy Change in the Development of Economic Institutions

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  • Orihuela, José Carlos

Abstract

Based on case-study methods, I draw lessons from the political economy of macroeconomic management in Chile and Peru to explain how “mineral-states” learn to think long term and eventually escape the resource curse. I give an institutionalist account of the rise of countercyclical funds, showing how the long-term development of elite networks qualifies the contemporary making of curse-escapes. Policy networks compose one central avenue of institutional development, for both the reproduction of path-dependence and the making of institutional change. The exposition challenges political economy of development frameworks which over-emphasize structural (initial) conditions and assume steady (rent-seeking) behavior of state agents.

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  • Orihuela, José Carlos, 2013. "How do “Mineral-States” Learn? Path-Dependence, Networks, and Policy Change in the Development of Economic Institutions," World Development, Elsevier, vol. 43(C), pages 138-148.
    • Handle: RePEc:eee:wdevel:v:43:y:2013:i:c:p:138-148
    DOI: 10.1016/j.worlddev.2012.10.004
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    2. Rodrigo Rodrigo Barra Novoa Barra Novoa, 2021. "Institutional learning and early economic impact results obtained by the network of business development centers in Chile [Résultats de l'apprentissage institutionnel et de l'impact économique préc," Post-Print hal-03332971, HAL.
    3. Emilio Soberón Bravo, 2023. "Governance on lithium mining shareholdings: expanding Environment, Social and Governance (ESG) indicators to economic regulation and raw material politics," Mineral Economics, Springer;Raw Materials Group (RMG);Luleå University of Technology, vol. 36(2), pages 333-347, June.
    4. Carpantier, J.-F. & Vermeulen, W.N., 2018. "Emergence of sovereign wealth funds," Journal of Commodity Markets, Elsevier, vol. 11(C), pages 1-21.
    5. José Orihuela, 2013. "Context matters: the significance of non-economic conditions for income–pollution relationships in Chile and Peru," Journal of Environmental Studies and Sciences, Springer;Association of Environmental Studies and Sciences, vol. 3(4), pages 391-403, December.
    6. Orihuela, José Carlos & Mendieta, Arturo & Pérez, Carlos & Ramírez, Tania, 2021. "From paper institutions to bureaucratic autonomy: Institutional change as a resource curse remedy," World Development, Elsevier, vol. 143(C).
    7. Xu, Yang & Liu, Xia & Yang, Liu & Yang, Xiaodong & Yan, Hongchuan & Ran, Qiying, 2023. "Exploring the impact of natural resource dependence on green technology innovation: New insights from China," Resources Policy, Elsevier, vol. 86(PA).
    8. Paul Alexander Haslam, 2016. "Overcoming the Resource Curse: Reform and the Rentier State in Chile and Argentina, 1973–2000," Development and Change, International Institute of Social Studies, vol. 47(5), pages 1146-1170, September.
    9. Hinojosa, Leonith & Bebbington, Anthony & Cortez, Guido & Chumacero, Juan Pablo & Humphreys Bebbington, Denise & Hennermann, Karl, 2015. "Gas and Development: Rural Territorial Dynamics in Tarija, Bolivia," World Development, Elsevier, vol. 73(C), pages 105-117.
    10. Haslam, Paul Alexander & Ary Tanimoune, Nasser, 2016. "The Determinants of Social Conflict in the Latin American Mining Sector: New Evidence with Quantitative Data," World Development, Elsevier, vol. 78(C), pages 401-419.
    11. Barandiarán, Javiera, 2019. "Lithium and development imaginaries in Chile, Argentina and Bolivia," World Development, Elsevier, vol. 113(C), pages 381-391.
    12. José Carlos Orihuela & Victor Gamarra Echenique, 2018. "Variegated dependence: The geographically differentiated economic outcomes of resource-based development in Peru, 2001-2015," Documentos de Trabajo / Working Papers 2018-458, Departamento de Economía - Pontificia Universidad Católica del Perú.

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