The Natural Resource Of Natural Resources

1660 Words7 Pages
1.1 Background and Introduction Over the last decade, the term “natural resource curse” has gained importance among resource rich countries; it claims that natural resource wealth is linked to poor economic growth (Sachs & Warner, 2001). In other words, countries with an abundance of natural resources are less developed and tend to grow slower than resource-poor countries (Sachs & Warner, 2001). It may seem that having plenty of natural resources is a gift, yet the fact is economic growth in countries like Indonesia and Nigeria do not actually show that the profusion of natural resources are a blessing (The Economist, 2000). Expectation to have a high growth economy because of being rich in natural resources has gone. In fact, natural resources have been causing many major conflicts to those resource-rich countries in terms of economics, international relations, and environment (Ross, 2003). Looking back on Indonesia’s history, Indonesia was colonized by the Dutch for 3.5 centuries, the reason was simply because Indonesia is rich of natural resources, due to the limitations of natural resources, especially herbs and spices back in Netherlands (Cribb, n.d.). During that time the Dutch tried to get the natural resources as much as they could without considering the welfare of the Indonesian (Cribb, n.d.). Indonesia had been freed from the Dutch and Japanese, yet, until today after 65 years of attaining independence, the country has not been able to liberate its people
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