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Digging deep: Resource exploitation and higher education

Author

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  • Balza, Lenin H.
  • De Los Rios, Camilo
  • Rivera, Nathaly M.

Abstract

Do resource-extraction booms deter postsecondary education? We explore this question by examining the higher education-related decisions of Chilean high school graduates during the 2000s commodities boom. Mineral extraction boosts enrollment in technical education but lowers completion rates for four-year professional degrees. Effects vary by economic background, with dropout rates higher among public high school graduates, who typically serve low-income groups. Our study highlights the unequal impact of natural resources on human capital accumulation across income groups within resource-rich developing economies.

Suggested Citation

  • Balza, Lenin H. & De Los Rios, Camilo & Rivera, Nathaly M., 2026. "Digging deep: Resource exploitation and higher education," World Development, Elsevier, vol. 201(C).
    • Handle: RePEc:eee:wdevel:v:201:y:2026:i:c:s0305750x25003973
    DOI: 10.1016/j.worlddev.2025.107311
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    Cited by:

    1. is not listed on IDEAS
    2. Erik Katovich & Dominic Parker & Steven Poelhekke, 2026. "Timing Is Everything: Labor Market Winners and Losers During Boom-Bust Cycles," Journal of the Association of Environmental and Resource Economists, University of Chicago Press, vol. 13(1), pages 229-260.

    More about this item

    Keywords

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    JEL classification:

    • Q32 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - Exhaustible Resources and Economic Development
    • Q33 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - Resource Booms (Dutch Disease)
    • I23 - Health, Education, and Welfare - - Education - - - Higher Education; Research Institutions
    • I25 - Health, Education, and Welfare - - Education - - - Education and Economic Development
    • I26 - Health, Education, and Welfare - - Education - - - Returns to Education

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