The Opinions Expressed in This Brief Are Those of the Author and Do Not Necessarily Reflect Those of the Ibp

A considerable number of developing countries are still trapped in a vicious cycle of poverty and stagnation, despite being endowed with significant stocks of natural resources. Research has highlighted how natural resource abundance is often linked to slower growth rates and actually seems to increase the likelihood that resourcedependent countries will experience negative economic, political and social outcomes. This phenomenon is commonly referred to as the “Resource Curse” or the “Paradox of Plenty.”