Mining linkages in the Chilean copper supply network and regional economic development

Abstract

The geographical expansion and increasing complexity of extractive production imply that the effect of mining linkages on economic development is unevenly felt inter- and intra-nationally. This article uses the linkages-based approach to understand from a multi-scalar perspective the uneven development patterns that could arise within a country related to the mining activity. For this purpose, we analyze the strength and potential quality of the mining linkages in the Chilean regions using information from input-output tables between 1995 and 2011 and a sample of almost 4000 mining services suppliers. Results show that the potential for high quality win-win mining linkages in the Chilean mining regions is very weak something that strongly constrains their possibility of achieving sustainable forms economic development.