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Some General Equilibrium Effects Of Mining Growth On The Economy

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  • Stoeckel, Andrew B.
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    Abstract

    The effects of mining sector growth are analysed with a five-sector general equilibrium model. The effect of the mineral discoveries is to cause the agricultural sector to contract, but to cause the import-competing sector to expand by a small amount--a result which differs from Gregory's (1976) analysis. However, a mining boom caused by increases in external demand, rather than by new discoveries, leads to a different set of results. Some likely effects of the boom on the growth rates of the different sectors in the economy are reported. Finally, the effects of an export tax on minerals are considered.

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    File URL: http://purl.umn.edu/22599
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    Bibliographic Info

    Article provided by Australian Agricultural and Resource Economics Society in its journal Australian Journal of Agricultural Economics.

    Volume (Year): 23 (1979)
    Issue (Month): 01 (April)
    Pages:

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    Handle: RePEc:ags:ajaeau:22599

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    Related research

    Keywords: Community/Rural/Urban Development; Resource /Energy Economics and Policy;

    References

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    1. Snape, Richard H., 1977. "Effects Of Mineral Development On The Economy," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 21(03), December.
    2. Chipman, John S., 1974. "Homothetic preferences and aggregation," Journal of Economic Theory, Elsevier, vol. 8(1), pages 26-38, May.
    3. Peter B. Dixon & B. R. Parmenter & John Sutton, 1978. "Some Causes Of Structural Maladjustment In The Australian Economy," Economic Papers, The Economic Society of Australia, vol. 1(57), pages 10-26, 01.
    4. Gregory, R.G., 1976. "Some Implications Of The Growth Of The Mineral Sector," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 20(02), August.
    5. Solow, Robert M, 1974. "The Economics of Resources or the Resources of Economics," American Economic Review, American Economic Association, vol. 64(2), pages 1-14, May.
    6. Robin Boadway & John Treddenick, 1975. "Computing the Effects of Tariffs in a Multi-Sector General Equilibrium Model with Interindustry Flows: An Application to Canada," Working Papers 176, Queen's University, Department of Economics.
    7. Bigman, David, 1978. "Derived Demand and Distributive Shares in a Multifactor Multisector Model," American Economic Review, American Economic Association, vol. 68(5), pages 923-28, December.
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    Cited by:
    1. Anderson, Jock R., 1982. "Agricultural Economics, Interdependence And Uncertainty," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 26(02), August.
    2. Ye, Qiang, 2008. "Commodity booms and their impacts on the Western Australian economy: The iron ore case," Resources Policy, Elsevier, vol. 33(2), pages 83-101, June.
    3. Clements, Kenneth W. & Ahammad, Helal & Qiang, Ye, 1996. "New mining and mineral-processing projects in Western Australia: Effects of employment and the macro-economy," Resources Policy, Elsevier, vol. 22(4), pages 293-346, December.
    4. Yihui Lan, 2003. "The Long-Term Behaviour of Exchange Rates, Part II: Aspects of Exchange-Rate Economics," Economics Discussion / Working Papers 03-06, The University of Western Australia, Department of Economics.
    5. Kenneth W Clements & Yihui Lan & John Roberts, 2007. "Exchange-Rate Economics for the Resources Sector," Economics Discussion / Working Papers 07-13, The University of Western Australia, Department of Economics.
    6. Fisher, Brian S., 1985. "Frontiers in Agricultural Policy Research," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 53(02), August.
    7. Qiang Ye, 2006. "Commodity Booms and Their Impacts on the Western Australian Economy: The Iron Ore Case," Economics Discussion / Working Papers 06-18, The University of Western Australia, Department of Economics.
    8. Pandey, Sushil & Piggott, Roley R. & MacAulay, T. Gordon, 1982. "The Elasticity Of Aggregate Australian Agricultural Supply: Estimates And Policy Implications," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 26(03), December.
    9. Sharples, Jerry A. & Milham, Nick, 1990. "Long-run Competitiveness of Australian Agriculture," Foreign Agricultural Economic Report (FAER) 147996, United States Department of Agriculture, Economic Research Service.

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