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by YugyDugan
792 days ago
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Is it not obvious that scarcity provides the harsh and unforgiving conditions for the natural selection of positive traits? Taking Europe, for example, our ancestors would not have survived without their adaptation to the climate and its consequences, breeding cooperation, empathy, industry, invention, efficiency, etc. A frivolous, impulsive, unintelligent people seeking immediate gratification would not have survived the winter. |
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In the article the Dutch disease is mentioned. It has three effects:
1. It makes the other exports less competitive (why bother with abundant resources?)
2. Imports financed by natural resources revenues increase, appreciating the currency (a double whammy for exports)
3. This causes a shift away from manufacture and similar industries rendering the economy more dependent on natural resources
I also think natural resources can be grabbed by individuals more easily than the skilfulness of a people leading to higher income inequality.