Natural Resources and the Macroeconomy

Abstract

These contributions bring both theoretical models and case studies to bear on the consequences of natural resource discoveries in developed and developing countries. Whether it is natural gas in the Netherlands, oil in the UK, Norway, or Mexico, or minerals in Australia, these discoveries have been accused of causing several structural problems, which have been given the name ''Dutch Disease.'' Although a sizable literature dealing with various aspects of the Dutch Disease has now developed, this is the first attempt to confront theory with evidence.