Countries rich in oil and minerals tend to grow poorer, not richer

Comparing dozens of countries from 1971 to 1989, economists found that the more a nation's exports depended on natural resources, the slower its economy grew afterward — even accounting for trade policy, investment and starting income. The 'resource curse' suggests striking oil can crowd out the manufacturing and institutions that actually build lasting wealth.

— Jeffrey D. Sachs and Andrew M. Warner, Natural Resource Abundance and Economic Growth — NBER Working Paper No. 5398, 1995

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