• The resource curse refers to countries that lag behind economically despite benefiting from valuable natural resources.

  • This mainly happens when a country concentrates all its means of production on the resource-dependent sector.
  • This can lead to a large dependence on the price of a particular product, which will hinder the further development of the economy.
  • Angola and Saudi Arabia suffer from a resource curse, although Saudi Arabia has been successful in diversifying in recent years.