Resource curse in resource dependent provinces in China

With abundant resource endowment, resource per capita in China is much lower than the average standard in the world. From the perspective of national level, China is not plagued in resource curse. Nevertheless, empirical statistics in this thesis prove that in some nature resource-dependent provinces in China, there does exist ldquoresource curse effectrdquo. The resource-dependent provinces are related with decreased vitality of manufacturing sector, increased income inequality, decreased stability and lower GDP growth while comparing with their peers that are not so dependent on nature resources. The paradoxical outcomes are defined as ldquoresource curserdquo. Therefore, research on status quo in the provinces in China, the dimensionalities, economic explanations of transmission mechanisms, mitigating ways dealing with resource curse are required in development of provinces rich in resource in China. In this thesis, the status quo is analyzed firstly to clarify that there does exist resource curse in resource-dependent provinces, then through research on resource curse happens in other countries as precedents, several ways to mitigate resource curse, including diversification, leave it underground, nature resource funds are proposed to overcome resource curse.