Natural Resources

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Natural resources as a base for development

Natural Resources as a base for development


Natural resources refer to those materials and resources that occur naturally in a locality, such as minerals, forests, wildlife and fertile land. Appropriate utilization of natural resources play an important role in leading a nation towards the economic and industrial development stage. Many nations across the globe are continually growing and prospering by rightly managing their natural resources to extract economic gain out of them. Many success stories have arisen from natural resource wealth. Norway has long utilized its Petroleum Fund to stabilize its oil wealth, providing economic security for the country. More recently, Chile’s Copper Stabilization Fund has proven to be a successful element in the country’s economic recovery since the mid 1980s. In both cases, resource dependence presented challenges that were properly managed, resulting in economic prosperity. Also, Saudi Arabia's vast oil resources have shaped the kingdom's development. Similarly in World War 2 Japan had attacked China to get China’s natural resources to fund its economy. Land and natural resources are key assets for economic growth and development.

Natural resources are necessary to sustain a living on this earth. People not only use these resources to maintain an existence but also to make a living out of their utilization. A fertile land is one of the most important natural resources. It allows human beings to grow food such as rice, wheat, maize, vegetables and fruits etc. This is not only a source of food for people across the world but wildlife, domestic animals, birds and insects also rely on this vegetation for their survival. This calls for the formulation and implementation of appropriate land policies for a better livelihood of the poor, as well as increased private investment in agriculture Working forests are also the nature's gift to the economy, the environment and our energy needs. They promise a supply of wood that could be utilized further in a number of ways for instance making furniture, and to synthesize fuel. Sustainably managed forests play an important role in protecting our climate. Science tells us that excessive amounts of greenhouse gasses, such as carbon dioxide accumulates in the atmosphere and contributes to global warming.  Natural Resources are important in determining the development of a nation as a whole. This is only possible by putting intense focus on how to manage the given natural resources to improve the quality of life for current and future generations. This indicates that while we engage in deriving the benefits of natural resources to put the country on roads of development, we should also consider ways to conserve the natural resources so that our future generations also enjoy the nature’s blessings in the shape of natural resources. Countries that have natural resources in abundance receive more than 25 percent of their government revenues from natural resources extraction are also successful in fighting against corruption and lowering the poverty levels. Economists now recognize that, along with physical and human capital environmental resources should be viewed as important economic assets, which can be called. However the relationship between resource abundance and economic growth is controversial among researchers in the world. So it is still not settled among economists that accurately that whether the resource endowment actually a blessing or a curse for the nation. To support this argument researches put forth the example of United States and United Kingdom. Since, most of the western states are faced with limited natural resources but they have developed as a nation on the basis of manufacturing and service. To further support their argument, researches have put forth observations that explicitly show that the countries enriched with natural capital could not...
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