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SUDAN
TUNISIA
EGYPT
LIBYALIBYAMAROCO
SOMALIA
RWANDA
African
Conflicts
CONFLICT DEATHS
Virgil Hawkins, New World Maps, Stealth Conflicts, December 30, 2008
ASIAMost of Asia is economically underdeveloped
“Approximately 790 million people in the developing world are still
chronically undernourished, almost two-thirds of whom
reside in Asia and the Pacific.”
930 million without electricity
For the 1.9 billion children from the developing world, there are:
640 million without adequate shelter (1 in 3)400 million with no access to safe water (1 in 5)270 million with no access to health services (1 in 7)
At least 80% of humanity lives on less than
$10 a day
but those countries are suffering…
also having ABUNDANT natural resources
AfricansDiamonds
Middle Easts
Product 1/3 of world’s OIL
Southeast AsiansRaw Materials Minerals
Metals
South AsiansAgricultures
Forests
Fishes
Sea Potentials
Coal
iron
Wood
Latin AmericasNatural Gas
Spices
Water
Wind
Gold
does natural resource exists as a killer of some country?
GDP
SPEE
D OF E
CONOM
IC GROW
TH
GROSS DOMESTIC PRODUCT“products produced within a country’s border”
GDP = C + I + G + (X-M)
•C: Consumption•I: Investment•G: Government•X-M: Net Export
CIVIL GOVERNMENT
HUMAN CAPITAL FOREIGNERS
ACCOUNTABILITY
POLITICAL STABILITY GOVERNMENT EFFECTIVENESS
REGULATORY QUALITY
CONTROL OF CORRUPTION
Limi (2007) & Kolstad (2009)
GOVERN
MENT
QU
ALIT
Yinstitutional
Interaction between rent seeking firms and corrupt government
Natural Resource Curse
appearsGDP flows negatively
CIVIL CONFLICTS AND NATURAL RESOURCE
Natural Resource (meningkat), Risk of War (Meningkat),And Conflict will be existing when government qualityPerforms negative, Collrer & Hoeffler (1998)
Start of Conflict War/Conflict Location Cumulative Fatalities
1991 Somalia Civil War Somalia 300.000-400.000
2003 Iraq War Iraq 1.455.590
2011 Yemen Uprising Yemen 1.782
2011 Syrian Uprising Syria 4.200
1969 Papua Conflict Indonesia 400.000
2004 South Thailand Insurgency
Thailand 4.100
2011 South Sudan Border Clashes
Sudan 125.600
and much more…
HUMAN CAPITAL
& AND NATURAL RESOURCE
Natural Resource has negative relationship with Human Capitaldevelopment
When natural resource is higher, cost of schooling comes higher and higher…
WHY???to create cheap labors used for resource exploration!!!
Civilians in resource-rich countries with less thana high school are still NUMBER ONE
unicef, 2010 South Asia
Latin AmericaEastern& Southern Africa
RICH BUT UNEDUCATED ?
free
TRADE&invest
MENT
opennessin trade in natural resource country with weak institution
may harm the economic growth
Grossman (2002)
Limiting education on the population to create cheap laborto attract international investors
MAP OF FREE TRADE
IN SUMMARY
We verify that
countries with firms that enjoy higher rents tend to have
higher corruption level, therefore, institutional quality can be a channel
through which resource abundance hurts economic growth
Kami memverifikasi bahwa
negara dengan perusahaan-perusahaan yang menikmatisewa yang lebih tinggi cenderung memiliki
tingkat korupsi yang lebih tinggi, oleh karena itu, kualitas kelembagaan mendapat aliran keuntungan
dari kelimpahan sumber daya menyakitkanpertumbuhan ekonomi
Natural Resource has negative effect on economic growth when there is no control for political stability, government effectiveness, regulatory quality, rule of law and democracy
Sumber Daya Alam memiliki efek negatifpada pertumbuhan ekonomi bila tidak ada kontrol untuk stabilitas politik, pemerintah efektivitas, kualitas peraturan,supremasi hukum dan demokrasi
rekomendasi
Kasus ‘Perilaku Pemerintah’ yang menyimpang
adalah sesuatu yang dinilai awet, maka giliran anda untuk menemukan ide agar suatu negara dapat bebas dari cengkraman ancaman
sumber daya alam dan pemerintah