Why Poor Countries Have So Many Natural Resources - VisualEconomik EN

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[defaultsettings]

Thanks for giving a shout out to my country, Botswana 🇧🇼

[gizel]

you forgot the 3rd type of country, countries that are bullied for their ressources, specially when it came to vital ressources like oil

[makayneilson]

I think if you base your country around raw material extraction and exclude other opportunities, you end up giving up the higher value added sectors. If you focus on using natural resources to fuel other sectors in your own economy, it works much better.

[matthewshields]

The problem is politicians take short gains over long-term prosperity

[philoslother]

Basically, The harder the life in a country is at first, the more developed and innovative it becomes

It's the same with cold vs hot countries, ancient people didn't have to innovate much to survive in warmer climates because you could always get fruit and food easily and could farm

In colder climates, you had to constantly innovate to stay alive

[Serif_s]

Tourism is in fact an export. It sounds counterintuitively but export does not trace the direction of goods or people. It traces a direction of money into or from ones economy.

[quirkyMakes]

All countries should strive to be self sufficient first. prosperity is not long term when you are reliant on other countries.

[dremc]

One major factor you forgot to mention in regards to Developing countries in Africa, middle east, S America and Asia, all had the western gov involvement in some form, positive or negative depending on the countries. The west uses HR to its advantage when it wants to target some regimes while the same time ignoring so called Authoritarian allies continuously commit HR crimes and get a pass.

[wun]

7:10 Spain exports Coltan, a rare mineral found in your phones and laptops.

[mdhxrthbk]

Well, I believe due to being too comfortable with the riches brought about through the availability of an abundance of natural resources, it'll breed complacency until you start depending your growth solely on its availability not realizing that nothing lasts forever.

[thebeleepo]

Thanks for speaking facts about my country Botswana.😀

[jaybee]

I disagree. Natural resources do make countries rich and the richest countries in the world have resources that made them rich i.e navigable rivers and fertile land. Resource isn’t just mineral digging from the ground. Countries like the USA, China, Brazil, Canada are large continental size with huge natural resources and they are definitely not poor. Cherry picking countries like Switzerland and Singapore while not acknowledging that these mini states are dependent on global trade and cannot survive on their own. In a world with of lesser free trade their wealth won’t hold up much.

Even the continent of Africa isn’t as rich as touted and the richest African countries are also the ones with decent agricultural production and mineral wealth. Nigeria Algeria Egypt gas and oil/ South African minerals/ Botswana diamonds with tiny population. Many poor African countries aren’t resource rich with few exceptions like DRC with have been very unstable for decades.

[thechosenone]

It often seems like poor countries are resource rich or resource dependant because that's their only source of income while richer countries with lots of resources also make money from manufacturing and services.
For eg:The USA produces more oil than Saudi Arabia. Canada produces more diamonds than DR Congo or Sierra Leone. But the US and Canada aren't called resource rich because they have other sources of income. While Saudi Arabia and Sierra Leone are resource dependant because they have few other sources of income.

[datoolz]

Poor countries just need to form cartels like OPEC. That is the answer to the dilemma, a coffee cartel, tea cartel, and lithium etc. Stockpile resources in warehouses,
and sell them exclusive only on the Shanghai and Mumbai exchanges. They can also start refining the product, sell aluminum bars not aluminum, etc. More of the resource
wealth can flow to themselves vs the West.

[snackplissken]

Great video. I had not thought of the effects of foreign capital on currencies in countries with the curse of natural resources but it makes sense. One has to wonder if universal basic income might similarly reduce the reliance of politicians on tax revenue from the average tax-payer and further shift resources and policy preferences to the cash cows and their politically connected owners. For most of us, one of the worst possible policy outcomes is a Cyberpunk style future where a handful or oligarchs control everything and the average person is completely marginalized.

[airconditioner]

I'm from Iraq and I agree. Natural resources does slow down growth because we become too dependent on it and it brings a lot of preying eyes from foreigners as well.

[panashemombeshora]

The natural resource curse exists, but not in the way it was explained in this video. What the curse really is, is a curse of being the last one to deplete your natural resources. And this simply means that if you have too many resources and a small or weak population, the countries with a strong government will swoop into your country and take your resources because you have them and they don't.

It's like a bully stealing lunch from a junior, or a babysitter stealing a lollipop from a baby. It's not because the young people are dumb or anything but it's because the bigger people can.

Iraq, Venezuela, Haiti, Libya, the DRC, Somalia, Uganda, Chad, Afghanistan, the Philippines, India, China, Egypt, New Holland (which by then was the land of the 'Aborigines' until some people randomly changed it to modern day Australia) and the Indies (now known as the United States of America) are all really sad examples of places that were brutally invaded up to the point that in some places, the real locals of the land were outright destroyed in their ability to run their country that they were replaced by people today who really aren't natives to that country, like Australia or the US today.

[botsyame]

Your pronunciation of Botswana is pretty good though

[gideonAschwanden]

The Dutch in the 70s were undemocratic? This theory has a gaping hole.

[jubril_juma]

13:40 you didn't check your facts 😥; Nigeria has had continuous democratic rule since 1999, which makes it 23 years of democratic rule. That statement was so wrong it made me question how much research really goes into these pieces beyond reading an article. Please verify everything you say before and after shooting videos 🙏🏻.