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Bolivia's strategy for restructuring the state's mining sector and promoting private investment in mining
Author(s) -
Villalobos Jaime
Publication year - 1989
Publication title -
natural resources forum
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.646
H-Index - 49
eISSN - 1477-8947
pISSN - 0165-0203
DOI - 10.1111/j.1477-8947.1989.tb00333.x
Subject(s) - restructuring , unrest , mining industry , business , government (linguistics) , state (computer science) , investment (military) , private sector , economic policy , intervention (counseling) , natural resource economics , economic growth , market economy , economics , finance , political science , politics , engineering , psychology , linguistics , philosophy , mining engineering , algorithm , psychiatry , computer science , law
Bolivia is a country of great mineral wealth with known reserves estimated to be worth over US$7 billion. Despite this great potential wealth, in the early 1980s the mining industry of Bolivia found itself in a crisis characterized by excessive state intervention in the industry, a financially troubled state mining company, large areas of the country off‐limits to mineral development, an irrational tax system which discouraged mining and labour unrest. To deal with these problems, the government decided to restructure the mining industry so as to encourage private participation. This paper describes the policies introduced to revitalize the mining industry as well as projections of what the future benefits would be to the country if those policies are successful in achieving their objectives.