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Aggravating the Resource Curse: Decentralisation, Mining and Conflict in Peru

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  • Javier Arellano-Yanguas

Abstract

In the early part of this decade, at the beginning of the recent international commodity price boom, Peru adopted major components of the new 'localist' policy paradigm for the management of natural resources. A large fraction of revenues were transferred to the subnational governments in the mining areas. Additionally, the government encouraged mining companies to assume a more active role locally. The results have been disappointing. Statistical and fieldwork evidence shows that these policies have exacerbated local political conflicts. The new 'localist' policy paradigm is unlikely to be effective when, as in contemporary Peru, national political institutions are not supportive.

Suggested Citation

  • Javier Arellano-Yanguas, 2011. "Aggravating the Resource Curse: Decentralisation, Mining and Conflict in Peru," Journal of Development Studies, Taylor & Francis Journals, vol. 47(4), pages 617-638.
    • Handle: RePEc:taf:jdevst:v:47:y:2011:i:4:p:617-638
    DOI: 10.1080/00220381003706478
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    References listed on IDEAS

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    1. Xavier Sala-i-Martin & Arvind Subramanian, 2013. "Addressing the Natural Resource Curse: An Illustration from Nigeria," Journal of African Economies, Centre for the Study of African Economies, vol. 22(4), pages 570-615, August.
    2. Gary McMahon & Felix Remy, 2001. "Large Mines and the Community : Socioeconomic and Environmental Effects in Latin America, Canada and Spain," World Bank Publications - Books, The World Bank Group, number 15247, December.
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