[_nalply]

True but a bit too simple I think.

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.