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Using state-of-the-art techniques in computer vision, we analyze one millionsatellite images covering 12% of the African continent between 1984 and 2019 totrack local development around 1,658 mineral deposits. We use stacked eventstudies and difference-in-difference models to estimate the impact of mineopenings and closings. The magnitude of the effect of mine openings isconsiderable - after 15 years, urban areas within 20km of an opening minealmost double in size. We find strong evidence of a political resource curse atthe local level. Although mining boosts the local economy in democraticcountries, these gains are meager in autocracies and come at the expense oftripling the likelihood of conflict relative to prior the onset of mining.Furthermore, our results suggest that the growth acceleration in mining areasis only temporary and diminishes with the closure of the mine.

The Local Economic Impact of Mineral Mining in Africa: Evidence from Four Decades of Satellite Imagery