Research On The Correlation Between Resource Endowm And Economic Growth

The vast fertile land, abundant mineral resources, plenty of oil and gas reserves, all of these is the mainspring of promoting economic development. But in recent years,the scholars gradually found a"strange"phenomenon, that the countries which owned abundant resources did not have a high Economic growth rate. However, the countries which have little resources got a higher Economic growth rate. Many scholars researched on this phenomenon and found that resources and economic growth is negatively related in the countries or regions which have abundant resources. The phenomenon was defined as"Resource course"by the scholars. This article tries to do some empirical analysis about inner Mongolia which depends on"Resource curse"theory and time series data of inner Mongolia. And on this basis this article tries to discuss the resource sustainable utilization problem and how to use the present resources to promote the long-term sustainable economic growth.As a frontier minority area, inner Mongolia is a traditionally less developed areas. Because of the state policies and geographical factors , agriculture and animal husbandry were the mainstay of the economy,industry and the tertiary industry of GDP is very small. Until the 1980s and '90s, With China's rapid economic development, Inner Mongolia's economic started fast development. Industrial production increases rapidly, industry of GDP is bigger than agriculture。Industry becomes the new mainstay of economy. With the arrival of the 21st century, China's economy grows up to a new level. Meanwhile Inner Mongolia's economy also ushered in the development of a new era. But at the back of development, there are also many problems. Economic structure is not reasonable, the proportion of industry is too high. Resource-based industry develops rapidly, Industrial structure is lack of diversification. Non-resource-based industries develop slowly. The proportion of primary products is too high, Deep processing and fine processing products are relatively few. Industry develops rapidly, but agriculture and the tertiary industry are not the same. The dual structure phenomenon is obvious.This paper Establishes a time series model based on Barro(1991), Sachs and Warner(1995,1997) and shaoqi(2008) 'models and the data of inner Mongolia from 1990 to 2008. And do a regression analysis to research the relationship between resource and economic growth rate based on the model. The conclusion is that there are negative correlation between these two factors. Resource elements restricted economic development. The main reason is"he Dutch Disease"and Extrusion effect. Rich-poor gap widening, corruption and System weakens are also the reasons.Finally,inner Mongolia needs to Establish the reasonable utilization of resources and management system and exploit resource more reasonably to keep the high growth of economy. Try to change the industry structure and develop new mainstay of economy. And increase education, innovation and human capital input.