The Critical Minerals Curse

Rabah Arezki, Frederick van der Ploeg and Rick van der Ploeg

No 11966, CESifo Working Paper Series from CESifo

Abstract: Economic super-powers are racing to control critical minerals in developing economies fueling conflict, environmental damage and poverty. In this paper, we first explore what could well constitute a new “critical minerals curse”. We then highlight the dualism of institutions required for developing countries to navigate the phenomenon. Specifically, we argue that the difficulty for developing countries rich in minerals lies in the balancing act between these two different types of institutions, namely outward- and inward-facing institutions.

Keywords: imports; market concentration; natural resources; resource curse (search for similar items in EconPapers)
JEL-codes: F10 F14 L12 O12 O13 (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:ces:ceswps:_11966

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