The resource curse , also known as the paradox of plenty or the poverty paradox , is the hypothesis that countries with an abundance of natural resources (such as fossil fuels and certain minerals ) have lower economic growth , lower rates of democracy , or poorer development outcomes than countries with fewer natural resources. There are many theories and much academic debate about the reasons for and exceptions to the adverse outcomes. Most experts believe the resource curse is not universal or inevitable but affects certain types of countries or regions under certain conditions. As of at least 2024, there is no academic consensus on the effect of resource abundance on economic development.
127-537: Chitreshwer or Chitreshwar is a village in Jharkhand , India .It has a population of nearly 1500. The major occupations are farming and commerce. The area produces mainly peanuts and vegetables. The village has done well recently with the peanut crop, contributing to the growth and development of the village. The people of the village are also in the peanut trading business. They supply peanuts to whole east Singhbhum and nearby areas of Midnapore districts. The village
254-564: A currency peg , appreciation of the currency can damage other sectors, leading to a compensating unfavorable balance of trade . As imports become cheaper in all sectors, internal employment suffers and with it the skill infrastructure and manufacturing capabilities of the nation. To compensate for the loss of local employment opportunities, government resources are used to artificially create employment. The increasing national revenue will often also result in higher government spending on health, welfare, military, and public infrastructure, and if this
381-421: A "curse" or a "blessing" and that the distinction is conditioned by domestic and international factors, both amenable to change through public policy, namely, human capital formation and economic openness." Dutch disease , defined as the relationship between the increase in the economic development of a specific sector (for example natural resources ) and a decline in other sectors, first became apparent after
508-715: A 0.7 percentage point decrease in income growth rates. No doubt, coal mining provides opportunities for relatively high-wage employment in the region, but its effect on prosperity appears to be negative in the longer run." Another example was the Spanish Empire which obtained enormous wealth from its resource-rich colonies in South America in the sixteenth century. The large cash inflows from silver reduced incentives for industrial development in Spain. Innovation and investment in education were therefore neglected, so that
635-822: A 2017 study, "social forces condition the extent to which oil-rich nations provide vital public services to the population. Although it is often assumed that oil wealth leads to the formation of a distributive state that generously provides services in the areas of water, sanitation, education, health care, or infrastructure... quantitative tests reveal that oil-rich nations who experience demonstrations or riots provide better water and sanitation services than oil-rich nations who do not experience such dissent. Subsequent tests find that oil-rich nations who experience nonviolent, mass-based movements provide better water and sanitation services than those who experience violent, mass-based movements." Studies suggest countries with abundant natural resources have higher levels of gender inequality in
762-633: A boycott of election while Jharkhand Mukti Morcha opposed this. The Jharkhand Area Autonomous Council bill passed in Bihar's legislative assembly in December 1994. The Jharkhand Area Autonomous Council were given responsibility for forty areas including agriculture, rural health, public work, public health and minerals. The council has power to recommend legislation to the Assembly through the state government and to frame bylaws and regulations. In 1998, when
889-461: A combination of generous benefits and low taxes. In many economies that are not resource-dependent, governments tax citizens, who demand efficient and responsive government in return. This bargain establishes a political relationship between rulers and subjects. In countries whose economies are dominated by natural resources, however, rulers don't need to tax their citizens because they have a guaranteed source of income from natural resources. Because
1016-458: A discussion has emerged concerning the potential for a resource curse related to critical materials for renewable energy . This could concern either countries with abundant renewable energy resources, such as sunshine, or critical materials for renewable energy technologies, such as neodymium , cobalt , or lithium . Bruce Bueno de Mesquita, who developed selectorate theory , explains that when an autocratic country has lots of natural resources,
1143-677: A football match on the Hindu festival of Holi . His widow, Suman Mahato , the Jharkhand Mukti Morcha candidate, won the Jamshedpur Lok Sabha by-election in September 2007 and served in parliament until 2009. Jharkhand is located in the eastern part of India and is enclosed by West Bengal to the eastern side, Chhattisgarh and Uttar Pradesh to the western side, Bihar to the northern part and Odisha to
1270-485: A nation's poor ends up in the pockets of the rich, or it may be squandered on grand palaces and massive showcase projects instead of being invested productively." A 2016 study found that mining in Africa substantially increases corruption; an individual within 50 kilometres (31 mi) of a recently opened mine is 33% more likely to have paid a bribe the past year than a person living within 50 km of mines that "will open" in
1397-420: A productive populace and therefore does not have to risk liberalization. By contrast, in a dictatorship with few natural resources, there may be a necessity for the ruler to liberalize his society somewhat so that the economy can be organized more efficiently, and to invest in education and healthcare to create a skilled and healthy workforce. Bueno de Mesquita cites Ghana and Taiwan as examples of countries where
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#17327840209051524-487: A protest march. Thousands of supporters of a separate state took to the streets led by Shahdeo. He was arrested and detained in a police station for hours along with many supporters. In 1999 the Bharatiya Janata party promised to form a separate Vanachal state if they won the state election with a majority of votes. After the last Assembly election in the state resulted in a hung assembly, RJD 's dependence on
1651-761: A result of the Anglo-Maratha Wars and became known as Chota Nagpur Tributary States . Subjugation, colonisation and imposition of taxes by the British East India Company resulted in spontaneous resistance from the local people. Chuar Rebellion , the first revolt against the British East India Company led by Jagannath Singh Patar in 1767 with the Bhumij tribals. The Bhumijes again revolted in 1769–71, led by their Sardar Ghatwals in Dhalbhum. In 1769, Raghunath Mahato also revolted against
1778-460: A term that was coined by William Freudenburg to describe how resource extraction driven economies can lead to short term economic benefits and sometimes short-sightedness by policymakers. Freudenberg also did research in an effort to understand more of the human capital implications of these types of economies and why results vary so widely across regions and industries. Although there is plentiful research of these types of economies, an understanding of
1905-753: Is 947 females to 1,000 males. The literacy rate of the state was 67.63% with Ranchi district being most educated at 77.13% compared to rural Pakur district being least at 50.17%. In social demographics, Jharkhand's Scheduled Caste and Scheduled Tribes populations are 3,985,644 (12.08%) and 8,646,189 (26.21%), respectively. Nationally, they rank 14th and 6th, comprising 1.98% and 8.29% of the total population within these social groups. They are predominantly concentrated in south-western district Simdega (78.23%), Khunti (77.77%), Gumla (72.11%), Paschim Singhbhum (71.1%), Latehar (66.85%), and in Lohardaga district (60.21%). Languages of Jharkhand (2011) Jharkhand
2032-687: Is a hierarchy of officials drawn from the Indian Administrative Service , Indian Police Service , Indian Forest Service and different wings of the state civil services. The judiciary is headed by the chief justice . Jharkhand has a High Court which has been functioning since 2000. All the branches of the government are located in the state capital, Ranchi. The state was formed with 18 districts that were formerly part of south Bihar. Some of these districts were reorganised to form 6 new districts, namely, Latehar, Saraikela Kharsawan, Jamtara, Pakur, Khunti and Ramgarh. At present,
2159-579: Is a potential source of conflict between factions fighting for a share of the revenue, which may take the form of armed separatist conflicts in regions where the resources are produced or internal conflict between different government ministries or departments for access to budgetary allocations. This tends to erode governments' abilities to function effectively. Even when politically stable, countries whose economies are dominated by resource extraction industries tend to be less democratic and more corrupt. A 2019 meta-analysis of 69 studies found "that there
2286-470: Is abode to hundreds of species of flora and fauna, as indicated within brackets: mammals (39), snakes (8), lizards (4), fish (6), insects (21), birds (170), seed bearing plants and trees (97), shrubs and herbs (46), climbers, parasites and semi-parasites (25), and grasses and bamboos (17). According to the 2011 Indian Census , Jharkhand has a population of 32.96 million, consisting of 16.93 million males and 16.03 million females. The sex ratio
2413-546: Is advancing as well in terms of literacy as well as culture. The farmers use the latest equipment and technology. The government is contributing for modernisation in the area, providing a 24-hour electricity supply and concrete roads for better connectivity to major locations nearby. The village has all major mobile towers and internet facilities as well. The village has direct connectivity via buses to Jamshedpur , Kharagpur , and Baripada in Mayurbhanj district . This village
2540-617: Is also known for its great hospitality. The village people welcome each and everybody with great warmth and pleasure. Once visited, you will surely return to this place if you love "desi" hospitality. Chitreshwar Temple, in Chitreshwar village, houses the largest natural Shiva linga in India, although not known to many people. The next largest is at Lingaraj Temple in Bhubaneswar . The present temple dates back to 10th century and
2667-415: Is because leaders in resource-rich countries are less sensitive to being punished in elections if they take actions that adversely affect foreign investors. Countries with higher natural resource export share show a correlation between receiving Foreign direct investment and decreasing democracy index , while this correlation is opposite for countries with low natural resource export share. According to
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#17327840209052794-526: Is diminished representation at the center." A 2018 study in International Studies Quarterly found that oil wealth was associated with weaker private liberties (freedom of movement, freedom of religion, the right to property, and freedom from forced labor). Research by Nathan Jensen indicates that countries that have resource wealth are considered to have a greater political risk for foreign direct investors. He argues that this
2921-420: Is done corruptly or inefficiently it can be a burden on the economy. While the decrease in the sectors exposed to international competition leaves the economy vulnerable to price changes in the natural resource and consequently even greater dependence on natural resource revenue, this can be managed by active and effective use of hedge instruments such as forwards , futures , options , and swaps ; however, if it
3048-411: Is due to the fact that the state harbours an abundance of natural resources, while its people live in abject poverty and destitution. The impoverished state provides ample recruits for communist insurgents, who argue that they are fighting on behalf of the landless poor and tribals that see few benefits from the resource extractions. As the federal government holds a monopoly on sub-surface resources in
3175-625: Is known for its waterfalls, hills and holy places; Baidyanath Dham , Parasnath , Dewri and Rajrappa are major religious sites. Jharkhand is primarily rural, with about 24% of its population living in cities as of 2011. Jharkhand suffers from what is sometimes termed a resource curse : it accounts for more than 4% of India's mineral production but 39.1% of its population is below the poverty line and 19.6% of children under five years of age are malnourished. The word " Jhar " means 'forest' and " Khand " means 'land' in various Indo-Aryan languages . Thus "Jharkhand" means forest land . In
3302-850: Is linguistically diverse, with speakers of Indo-Aryan, Dravidian, and Austroasiatic languages. Hindi is the official language and is spoken as the link language by the people of the state, although different regional languages exist. Some of which, including Nagpuri , Khortha , Kurmali , Magahi and Bhojpuri are categorised as 'Hindi languages' in the Indian census 2011. Jharkhand has accorded additional official language status to Angika , Bengali , Bhojpuri , Bhumij , Ho , Kharia , Kurukh , Khortha , Kurmali , Magahi , Maithili , Mundari , Nagpuri , Odia , Santali and Urdu . Religion in Jharkhand (2011) The other religions and persuasions mostly consists of adherents of Sarnaism . As per
3429-522: Is managed inefficiently or corruptly, this can lead to disastrous results. Also, since productivity generally increases faster in the manufacturing sector than in the government, the economy will have lower productivity gains than before. According to a 2020 study, giant resource discoveries led to a substantial appreciation of the real exchange rate. Prices for some natural resources are subject to wide fluctuation; for example, crude oil prices rose from around $ 3 per barrel to $ 12/bbl in 1974 following
3556-413: Is necessary to maintain their states' finances. There is a lack of investment in other sectors of the economy which is further exacerbated by declines the commodity's price. While resource sectors tend to produce large financial revenues, they often add few jobs to the economy, and tend to operate as enclaves with few forward and backward connections to the rest of the economy. Another possible effect of
3683-413: Is no aggregate relationship between natural resources and conflict." According to a 2017 review study, "while some studies support the link between resource scarcity/abundance and armed conflict, others find no or only weak links." According to one academic study, a country that is otherwise typical but has primary commodity exports around 5% of GDP has a 6% risk of conflict, but when exports are 25% of GDP
3810-510: Is no consensus view on the effect of natural resource abundance on economic development. Publishing in 2022, academic Jing Vivian Zhan observes that different studies, all with supporting empirical evidence, show contradictory findings in on this point, as well as whether the effects vary across different historical time periods. Whether studies look at short-term or long-term economic effects of resource abundance may also result in different conclusions. A 2016 meta-study found weak support for
3937-419: Is that oil strengthens authoritarian regimes, making transitions to democracy less likely. The second is that oil wealth weakens democracies. Research generally supports the first theory but is mixed on the second. A 2019 study found that oil wealth is associated with increases in the level of personalism in dictatorships. Both pathways might result from the ability of oil-rich states to provide citizens with
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4064-490: Is the devil's excrement." A 2011 study in The Review of Economics and Statistics found that commodities have historically always shown greater price volatility than manufactured goods and that globalization has reduced this volatility. Commodities are a key reason why poor countries are more volatile than rich countries. "Oil production generally takes place in an economic enclave, meaning it has few direct effects on
4191-658: Is the key variable in the vast majority of the studies that identify some type of curse." A 2014 meta-analysis confirms the negative impact of oil wealth on democratization. A 2016 study challenges the conventional academic wisdom on the relationship between oil and authoritarianism. A 2022 study found that the resource curse is tied only to easily-extractable oil, not to oil that requires complex extraction. Other forms of resource wealth have also been found to strengthen autocratic rule. A 2016 study found that resource windfalls have no political impact on democracies and deeply entrenched authoritarian regimes, but significantly exacerbate
4318-560: Is the leading producer of mineral wealth in the country after Chhattisgarh state, endowed as it is with a vast variety of minerals like iron ore, coal, copper ore, mica, bauxite, graphite, limestone, and uranium. Jharkhand is also known for its vast forest resources. Jharkhand has been at the centre of the Naxalite-Maoist insurgency . Since the uprising of the Naxalites in 1967, 6,000 people have been killed in fighting between
4445-631: The American Economic Review found that mining extraction contributed to conflicts in Africa at the local level over the period 1997–2010. A 2017 study in Security Studies found that while there is a statistical relationship between oil wealth and ethnic war, the use of qualitative methods reveals "that oil has rarely been a deep cause of ethnic war." The emergence of the Sicilian Mafia has been attributed to
4572-592: The 1973 oil crisis and fell from $ 27/bbl to below $ 10/bbl during the 1986 glut . In the decade from 1998 to 2008, it rose from $ 10/bbl to $ 145/bbl, before falling by more than half to $ 60/bbl over a few months. When government revenues are dominated by inflows from natural resources (for example, 99.3% of Angola 's exports came from just oil and diamonds in 2005), the volatility can disrupt government planning and debt service . Abrupt changes in economic realities that result from this often provoke widespread breaking of contracts or curtailment of social programs, eroding
4699-741: The 2011 census , Hinduism is the majority religion in the state at 67.8%, followed by Islam at 14.5% and Christianity at 4.3%. Other religions, primarily Sarnaism , claim to be 12.8% of the population. Hindus form majority in 19 out of 24 districts of the Jharkhand. Christianity forms majority in Simdega district (51.04%). Sarna forms majority in Lohardaga (51.01%), West Singhbhum (62.29%) and plurality in Gumla (44.62%) and Khunti (45.37%). Muslims have highest presence in Pakur district and Sahebganj district of Jharkhand forming 35% and 34% of
4826-604: The All Jharkhand Students Union , and the Congress came in one platform and formed the 'All Party Separate State Formation Committee' to start the movement. Shahdeo was elected as the convener of the committee. Voting on the Jharkhand Act was to be done on 21 September 1998 in the Bihar legislature. On that day the committee, under the leadership of Shahdeo called for Jharkhand Bandh and organised
4953-416: The All Jharkhand Students Union . They led the movement for a separate state of Jharkhand. The Jharkhand coordination committee (JCC), consisting of Ram Dayal Munda , B. P. Keshri , Binod Bihari Mahato , Santosh Rana and Suraj Singh Besra started a new initiative and tried to coordinate between different parties. Keshri sent a memorandum to form Jharkhand state in 1988. The Jharkhand co-ordination committee
5080-908: The British East India Company (EIC). In 1771, the revolt against the landlords and the British government was led by Tilka Majhi , a Paharia leader in Rajmahal Hills. Soon after in 1779, the Bhumij tribes again rose in arms against the British rule in Manbhum, called the Chuar Rebellion. In 1807, the Oraons in Barway murdered their landlord from Srinagar . The Munda tribe rose in revolt in 1811 and 1813. Bakhtar Say and Mundal Singh , two landowners, fought against
5207-699: The Eastern States Agency , the officials of which came under the direct authority of the Governor-General of India, rather than under that of any provinces. In March 1940, the INC 53rd Session occurred under the presidency of Maulana Azad at Jhanda Chowk, Ramgarh, which is now Ramgarh Cantonment . Mahatma Gandhi , Jawaharlal Nehru , Sardar Patel , Rajendra Prasad , Sarojini Naidu , Khan Abdul Ghaffar Khan , Acharya J.B. Kripalani , Industrialist Jamnalal Bajaj and other great leaders of
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5334-844: The Nagvanshi Maharaja of Chhotanagpur . Chero rule in the Palamu region lasted until the 19th century until internal conflict between various factions weakened the Cheros and they were defeated by the East India Company . Later Palamu estates were sold by the British. During the 18th century, regions under the Kings of the Chero dynasty, Nagvanshi dynasty, Ramgarh and Kharagdiha became parts of territories of East India Company . Ramgarh Raj along with estates of other chiefs in
5461-455: The Rosenwald schoolbuilding program . A 2021 study found that European regions with a history of coal mining had 10% smaller per-capita GDP than comparable regions. The authors attribute this to lower investments in human capital. Resource extraction driven economies can be argued to potentially have negative effects on human capital through several different means. "Addictive economies" is
5588-441: The price of oil rises, legislators affiliated with right-wing paramilitary groups win office more in oil-producing municipalities. Consistent with the use of force to gain power, positive price shocks also induce an increase in paramilitary violence and reduce electoral competition: fewer candidates run for office, and winners are elected with a wider vote margin. Ultimately, fewer centrist legislators are elected to office, and there
5715-630: The rule of the British East India Company was transferred to the Crown in the person of Queen Victoria , who, in 1876, was proclaimed Empress of India . The Cheros and Kharwars again rebelled against the British in 1882 but the attack was repulsed. Then Birsa Munda revolt, broke out in 1895 and lasted until 1900. The revolt though mainly concentrated in the Munda belt of Khunti, Tamar, Sarwada and Bandgaon. In October 1905,
5842-543: The 1970s and 1980s; Iran's long-standing suspicion of Western powers; the United States' relations with Iraq and Iran. It is not clear whether the pattern of petro-aggression found in oil-rich countries also applies to other natural resources besides oil. Some scholars argue that the relationship between oil and interstate war is primarily driven by the case of the Iran–Iraq War and that the overall evidence points in
5969-556: The 1970s, oil-producing countries did not have democratization levels that differed from other countries. Oil-abundant authoritarian governments are suggested to earn high levels of income for oil but spend an extremely minimal amount on social expenditures for individuals being ruled and democracies are suggested to do the opposite. Research by Stephen Haber and Victor Menaldo found that increases in natural resource reliance do not induce authoritarianism but may instead promote democratization. The authors say that their method rectifies
6096-652: The British East India Company in 1812. The Hos in Singhbhum revolted in 1820 and a Kol revolt occurred in 1832. Also in 1832 the Bhumijs revolted again against the British, this time under the leadership of Ganga Narayan Singh , known as the Bhumij Rebellion . During the 19th century, large numbers of santals from Manbhum , Hazaribagh , Midnapore were settled by British in Damin-i-koh to cultivate
6223-704: The Christian Tribals Association, which submitted a memorandum to the Simon Commission to constitute a tribal state in eastern India. Prominent leaders like Jaipal Singh Munda and Ram Narayan Singh also demanded a separate state. In 1955, the Jharkhand Party , led by Jaipal Singh Munda, submitted a memorandum to the States Reorganization Commission for a separate Jharkhand state comprising
6350-645: The Congress extended support on the precondition that RJD would not pose a hurdle to the passage of the Bihar reorganisation Bill . Finally, with the support from both RJD and Congress , the ruling coalition at the Centre led by the Bharatiya Janata Party which had made statehood its main poll plank in the region in successive polls earlier, cleared the Bihar reorganisation Bill in the monsoon session of
6477-617: The Dutch discovered a huge natural gas field in Groningen in 1959. The Netherlands sought to tap this resource in an attempt to export the gas for profit. However, when the gas began to flow out of the country, its ability to compete against other countries' exports declined. With the Netherlands focusing primarily on the new gas exports, the Dutch currency began to appreciate, which harmed the country's ability to export other products. With
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#17327840209056604-699: The Indian freedom movement attended the Ramgarh Session. Mahatma Gandhi also opened the Khadi and Village Industries Exhibition at Ramgarh. At that time, under the leadership of Netaji Subhash Chandra Bose a conference against Samjhauta was also completed. In Ramgarh, Subhas Chandra Bose was seen as president of the All India Forward Block and M. N. Roy was seen as leader of the Radical democratic party. After Indian independence in 1947,
6731-544: The Jharkhand state is still enclosed by forest. Forests sustain the population of elephants and tigers. Climate of Jharkhand varies from Humid subtropical in the north to tropical wet and dry in the south-east. The main seasons are summer, rainy, autumn, winter and spring. The summer lasts from mid-April to mid-June. May, the hottest month, characterised by daily high temperatures around 37 °C (99 °F) and low temperatures around 25 °C (77 °F). The southwest monsoon , from mid-June to October, brings nearly all
6858-539: The Naxalites and counter-insurgency operations by the police , and its paramilitary groups such as the Salwa Judum . Despite having a presence in almost 7.80% of India's geographical area (home to 5.50% of India's population), the state of Jharkhand is part of the " Red Corridor " comprising 92,000 square kilometres, where the highest concentration of the groups estimated 20,000 combatants fight. Part of this
6985-613: The Parliament on 2 and 11 August in Loksabha and Rajyasabha. This paved the way for the creation of a separate Vanachal state comprising the Chota Nagpur Division and Santhal Pargana Division of South Bihar. NDA formed the government with Babulal Marandi as chief minister. Later the name of the state was changed from Vanachal to Jharkhand. Babulal Marandi took the oath of chief minister on 15 November 2000 on
7112-665: The USA exhibit lower human rights performance than those exporting to China". The authors argue that this stems from the fact that US relationships with oil producers were formed decades ago, before human rights became part of its foreign policy agenda. One study found that resource wealth in authoritarian states lowers the probability of adopting freedom of information laws. However, democracies that are resource-rich are more likely than resource-poor democracies to adopt such laws. One study looking at oil wealth in Colombia found "that when
7239-653: The age of Mahajanpadas around 500 BCE, Jharkhand state was a part of Magadha and Anga . In the Mauryan period, this region was ruled by a number of states, which were collectively known as the Atavika (forest) states. These states were subdued and were forced to accept the hegemony of the Maurya empire during Ashoka 's reign (c. 232 BCE). In the ancient site of Saridkel , burnt brick houses, red ware pottery, copper tools, coins and iron tools have been found which belong to
7366-663: The ancient period, in the Mahabharata , the region was referred as Kark Khand due to location near Kark Rekha, that is, Tropic of Cancer . During the Medieval period, the region was known as Jharkhand . According to Bhavishya Purana (1200 CE), Jharkhand was one of the seven Pundra desa. The name is first found on a 13th-century copper plate in Kendrapada , Odisha region from the reign of Narasimha Deva II of Eastern Ganga dynasty . Forest land from Baidhnath dham to Puri
7493-580: The anniversary of the birth of tribal leader Birsa Munda . The dynamics of resources and the politics of development still influence the socio-economic structures in Jharkhand, which was carved out of the relatively underdeveloped southern part of Bihar . According to the 1991 census, the state has a population of over 20 million out of which 28% is tribal while 12% of the people belong to scheduled castes . Jharkhand has 24 districts, 260 blocks, and 32,620 villages out of which only 45% have access to electricity while only 8,484 are connected by roads. Jharkhand
7620-516: The areas of wages, labor force participation, violence, and education. Research links gender inequality in the Middle East to resource wealth. According to Michael Ross: Oil production affects gender relations by reducing the presence of women in the labor force. The failure of women to join the nonagricultural labor force has profound social consequences: it leads to higher fertility rates, less education for girls, and less female influence within
7747-403: The authorities attempt diversification in the economy, this is made difficult because resource extraction is vastly more lucrative and out-competes other industries for the best human capital and capital investment. Successful natural-resource-exporting countries often become increasingly dependent on extractive industries over time, further increasing the levels of investment in this industry as it
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#17327840209057874-410: The autocratic nature of moderately authoritarian regimes. A third 2016 study finds that while it is accurate that resource richness has an adverse impact on the prospects of democracy, this relationship has held only since the 1970s. A 2017 study found that the presence of multinational oil companies increases the likelihood of state repression. Another 2017 study found that the presence of oil reduced
8001-580: The banks of this river "Subarnarekha". Chitreshwar Temple is an ancient temple dedicated to Lord Shiva. It is located at Chitreshwar, which is 55 km from Chakulia Railway Station. The town of Bahragora is 12 km from here. A popular fair is held in temple on the day of Shiva Chaturdasi. The devotees from several places, particularly from the bordering villages of Midnapore (West Bengal) and Mayurbhanj (Odisha) districts, assemble here. Jharkhand Jharkhand ( / ˈ dʒ ɑːr k ə n d / ; Hindi: [d͡ʒʱɑːɾkʰəɳɖ] ; lit. '
8128-414: The boom had not occurred." A 2019 study found that active mining activity had an adverse impact on the growth of firms in tradeable sectors but a positive impact on the growth of firms in non-tradeable sectors. Natural resources are a source of economic rent which can generate large revenues for those controlling them even in the absence of political stability and wider economic growth. Their existence
8255-489: The chairmanship of the then chief minister of Bihar under the provision of the fifth schedule in 1972. This failed to achieve the desired result. Jharkhand Mukti Morcha wanted more representation and the All Jharkhand Students Union was against it. Due to differences these parties broke away from each other. The All Jharkhand Students Union introduced elements of violence in the movement and called for
8382-507: The chance of conflict rises to 33%. "Ethno-political groups are more likely to resort to rebellion rather than using nonviolent means or becoming terrorists when representing regions rich in oil." There are several factors behind the relationship between natural resources and armed conflicts. Resource wealth may increase the vulnerability of countries to conflicts by undermining the quality of governance and economic performance (the "resource curse" argument). Secondly, conflicts can occur over
8509-629: The citizens complain, money from the natural resources enables governments to pay for armed forces to keep the citizens in check. It has been argued that rises and falls in the price of petroleum correlate with rises and falls in the implementation of human rights in major oil-producing countries. Corrupt members of national governments may collude with resource extraction companies to override their own laws and ignore objections made by indigenous inhabitants. The United States Senate Foreign Relations Committee report entitled "Petroleum and Poverty Paradox" states that "too often, oil money that should go to
8636-548: The control and exploitation of resources and the allocation of their revenues (the " resource war " argument). Thirdly, access to resource revenues by belligerents can prolong conflicts (the " conflict resource " argument). A 2018 study in the Journal of Conflict Resolution found that rebels were particularly likely to be able to prolong their participation in civil wars when they had access to natural resources that they could smuggle. A 2004 literature review finds that oil makes
8763-408: The country's citizens aren't being taxed, they have less incentive to be watchful with how government spends its money. In addition, those benefiting from mineral resource wealth may perceive an effective and watchful civil service and civil society as a threat to the benefits that they enjoy, and they may take steps to thwart them. As a result, citizens are often poorly served by their rulers, and if
8890-485: The day of Maha Shivaratri or the Shiva Chaturdasi festival, devotees of Lord Shiva come from distant places to pray to the god. This event attracts a few thousand people annually. A huge "Mela" or Fair is held at this time. Devotees do " tongue piercing " on this occasion. The village also has "Subarnarekha" river passing by its side. It is believed and witnessed by the people of this village that gold floats on
9017-527: The direction of an oil-peace. A 2016 study finds that "oil production, oil reserves, oil dependence, and oil exports are associated with a higher risk of initiating conflict while countries enjoying large oil reserves are more frequently the target of military actions." As of 2016, the only six countries whose reported military expenditures exceeded 6 percent of GDP were significant oil producers: Oman, South Sudan, Saudi Arabia, Iraq, Libya, Algeria (data for Syria and North Korea were unavailable). A 2017 study in
9144-565: The early centuries CE. Brahmi inscriptions have been found in Khunti district which are from the 3rd century BCE. Samudragupta , while marching through the present-day Chotanagpur region ( North and South ), directed the first attack against the kingdom of Dakshina Kosala in the Mahanadi valley. In the 7th century, the Chinese traveller Xuanzang passed through the region. He described
9271-560: The effect has persisted to this day. Today, the share of homicides and assaults explained by the historical circumstances of mineral discoveries is comparable to the effect of education or income." A 2018 study in the Economic Journal found that "oil price shocks are seen to promote coups in onshore-intensive oil countries, while preventing them in offshore-intensive oil countries." The study argues that states which have onshore oil wealth tend to build up their military to protect
9398-424: The effects of resource wealth on a wide range of economic outcomes, and offered many explanations for how, why, and when a resource curse is likely to occur. While "the lottery analogy has value but also has shortcomings", many observers have likened the resource curse to the difficulties that befall lottery winners who struggle to manage the complex side-effects of newfound wealth. As of 2009, scholarship on
9525-546: The evidence for whether this increased spending translates to better education outcomes is mixed. A study on Brazil found that oil revenues were associated with sizable increases in education spending, but only with small improvements in education provision. Similarly, an analysis of early-20th century oil booms in Texas and neighboring states found no effect of oil discoveries on student teacher ratios or school attendance. However, oil-rich regions participated more intensively in
9652-654: The exercise of British influence over the predominantly Hindi -speaking states of Chang Bhakar , Jashpur , Koriya , Surguja , and Udaipur was transferred from the Bengal government to that of the Central Provinces , while the two Oriya -speaking states of Gangpur and Bonai were attached to the Orissa Tributary States , leaving only Kharsawan and Saraikela answerable to the Bengal governor. In 1936, all nine states were transferred to
9779-654: The existence of natural resources. If the resource prices fall, however, the governments' capacity to meet debt repayments will be reduced. For example, many oil-rich countries like Nigeria and Venezuela saw rapid expansions of their debt burdens during the 1970s oil boom; however, when oil prices fell in the 1980s, bankers stopped lending to them and many of them fell into arrears, triggering penalty interest charges that made their debts grow even more. As Venezuelan oil minister and OPEC co-founder Juan Pablo Pérez Alfonzo presciently warned in 1976: "Ten years from now, twenty years from now, you will see, oil will bring us ruin... It
9906-535: The fact that West Virginia ranked last on the Gallup-Healthways Well-Being Index in the years of 2009-2010 in the categories of "physical health", "emotional health", "life evaluation", and "overall well-being". Arguments against the "resource curse" often claim economic benefits from the resource. The Purdue and Pavela case study reflects an example of negative economic impacts of this type of reliance on resource extraction; as even when
10033-508: The future. The former also pay bribes for permits more frequently, and perceive their local councilors to be more corrupt. In a study examining the effects of mining on local communities in Africa, researchers concluded that active mining areas are associated with more bribe payments, particularly police bribes. Their findings were consistent with the hypothesis that mining increases corruption. The Center for Global Development argues that governance in resource-rich states would be improved by
10160-403: The government making universal, transparent, and regular payments of oil revenues to citizens and then attempting to reclaim it through the tax system, which they argue will fuel public demand for the government to be transparent and accountable in its management of natural resource revenues and in the delivery of public services. One study found that "oil producing states dependent on exports to
10287-629: The growing gas market and the shrinking export economy, the Netherlands began to experience a recession . This process has been witnessed in multiple countries around the world including but not limited to Venezuela ( oil ), Angola ( diamonds , oil ), the Democratic Republic of the Congo ( diamonds ), and various other nations. All of these countries are considered "resource-cursed". Dutch disease makes tradable goods less competitive in world markets. Absent currency manipulation or
10414-423: The impact of oil correlated with regime leaders as well as being between two and three times larger than the marginal effect of increases during the leader's term. A 2021 meta-analysis of 46 natural experiments found that price increases in oil and lootable minerals increased the likelihood of conflict. A 2011 study in the journal Comparative Political Studies found that "natural resource wealth can be either
10541-708: The inability of allied great powers to punish the petrostate. The great powers have strong incentives not to upset the relationship with its client petrostate ally for both strategic and economic reasons. A 2017 study found evidence of the resource curse in the American frontier period of the Western United States in the 19th century (the Wild West ). The study found, "In places where mineral discoveries occurred before formal institutions were established, there were more homicides per capita historically and
10668-537: The kingdom as Karnasuvarna , with Shashanka as its ruler. To the north of Karn-Suberna was Magadha, Champa was in the east, Mahendra in the west, and Orissa in the south. During the medieval period, the region was governed by Nagvanshi , Pala , Khayaravala , Ramgarh Raj and Chero rulers. A Buddhist monastery has been found in Hazaribagh which was built during the Pala period in the 10th century. Bhim Karn
10795-512: The land and generate revenue. But the Santal revolted against tax imposition. The Santhal rebellion broke out in 1855 under the leadership of two brothers Sidhu and Kanhu . Later the British renamed it as Santal Pargana. Thakur Vishwanath Shahdeo and Pandey Ganpat Rai rebelled against the British East India Company in the 1857 rebellion . In the Battle of Chatra , conflict took place between
10922-443: The land of forests ' ) is a state in eastern India . The state shares its border with the states of West Bengal to the east, Chhattisgarh to the west, Uttar Pradesh to the northwest, Bihar to the north and Odisha to the south. It is the 15th largest state by area , and the 14th largest by population . Hindi is the official language of the state. The city of Ranchi is its capital and Dumka its sub-capital. The state
11049-466: The late medieval period. Several iron slags , microliths , and potsherds have been discovered from Singhbhum district that are from 1400 BCE according to carbon dating age. The region was ruled by many empires and dynasties including Nanda , Maurya and Gupta during ancient period. In the Mahabharata, the region was referred as Kark Khand due to its location near Tropic of Cancer. During
11176-540: The leaders of the Vanachal movement. They organised several rallies to form a separate state. The central government formed a committee on the Jharkhand matter in 1989. It stressed the need for greater allocation of development funds for the area. There was a provision for limited internal autonomy in the hill area of Assam . Other tribal areas were covered by the fifth schedule of the constitution. Chotanagpur and Santal Pargana development boards were constituted under
11303-487: The likelihood that a democracy would be established after the breakdown of an authoritarian regime. A 2018 study found that the relationship between oil and authoritarianism primarily holds after the end of the Cold War . The study argues that without American or Soviet support, resource-poor authoritarian regimes had to democratize, but resource-rich authoritarian regimes resisted domestic pressures to democratize. Prior to
11430-544: The list of dams built across these revere refer to [2] Jharkhand has a rich variety of flora and fauna . The national parks and the zoological gardens in the state of Jharkhand present a panorama of this variety. Part of the reason for the variety and diversity of flora and fauna found in Jharkhand state may be accredited to the Palamau Tiger Reserves under the Project Tiger. This reserve
11557-406: The methodological biases of earlier studies which revolve around random effects : "Numerous sources of bias may be driving the results [of earlier studies on the resource curse], the most serious of which is omitted variable bias induced by unobserved country-specific and time-invariant heterogeneity." In other words, this means that countries might have specific, enduring traits that get left out of
11684-556: The model, which could increase the explanation power of the argument. The authors claim that the chances of this happening are larger when assuming random effects, an assumption that does not allow for what the authors call "unobserved country-specific heterogeneity". The criticisms have themselves been subject to criticism. One study reexamined the Haber-Menaldo analysis by using Haber and Menaldo's own data and statistical models. It reported that their conclusions were only valid for
11811-578: The oil, whereas states do not do that for offshore oil wealth. A 2020 study determined that low levels of oil and gas revenue actually increases the likelihood of nonviolent resistance in autocratic countries, despite the general logic of the resource curse. Research shows that oil wealth lowers levels of democracy and strengthens autocratic rule because political leaders in oil-rich countries refuse democratic development because they will have more to give up from losing power. Similarly, political leaders of oil-rich countries refuse democratic development because
11938-399: The onset of war more likely and that lootable resources lengthen existing conflicts. One study finds the mere discovery (as opposed to just the exploitation) of petroleum resources increases the risk of conflict, as oil revenues have the potential to alter the balance of power between regimes and their opponents, rendering bargains in the present obsolete in the future. One study suggests that
12065-465: The period before the 1970s, but since about 1980, there has been a pronounced resource curse. Authors Andersen and Ross suggest that oil wealth became a hindrance to democratic transitions only after the transformative events of the 1970s, which enabled the governments of developing countries to capture the oil rents that were previously siphoned off by foreign-owned firms. There are two ways that oil wealth might negatively affect democratization. The first
12192-567: The political elite collects the revenues from the oil export and use the money for cementing its political, economic, and social power by controlling government and its bureaucracy, Military spending generally increases with oil wealth and so a military coup, one of the strongest tools in toppling autocracies, is less likely in oil-rich countries since dictators can quell resistance through additional funding. According to Michael Ross, "only one type of resource has been consistently correlated with less democracy and worse institutions: petroleum, which
12319-500: The population. The constitutional head of the government of Jharkhand is the governor , who is appointed by the president of India . The real executive power rests with the chief minister and the cabinet. The political party or the coalition of political parties having a majority in the Legislative Assembly forms the government. The head of the bureaucracy of the state is the chief secretary . Under this position,
12446-402: The prerequisites for successful future development were given up. Thus, Spain soon lost its economic strength in comparison to other Western countries. A study of US oil booms found positive effects on local employment and income during booms but found that after the boom, incomes "per capita" decreased, while "unemployment compensation payments increased relative to what they would have been if
12573-469: The price of surface level coal goes up on the market, the poverty levels of people within those communities rises alongside it. Adverse effects of natural resources on human capital formation might come through several channels. High wages in the resource extraction industry could induce young workers to drop out of school earlier in order to find employment. Evidence for this has been found for coal and fracking booms. In addition, resource booms can lower
12700-718: The rebels and the East India company. Tikait Umrao Singh , Sheikh Bhikhari , Nadir Ali and Jai Mangal Singh played pivotal role in the Indian Rebellion of 1857. The brothers Nilambar and Pitambar were chiefs of Bhogta clan of the Kharwar tribe who held ancestral jagirs with many Chero Jagirdars and led revolt against the British East India company. After the Indian Rebellion of 1857 ,
12827-670: The regions were permanently settled as Zamindari estates. The Kharagdiha Rajas were settled as Rajas of Raj Dhanwar in 1809, and the Kharagdiha gadis were separately settled as zamindari estates. Some of the notable Kharagdiha Zamindari estates were Koderma , Gadi Palganj and Ledo Gadi . The princely states in the Chota Nagpur Plateau came within the sphere of influence of the Maratha Empire , but they became tributary states of British East India Company as
12954-448: The resource curse has increasingly shifted towards explaining why some resource-rich countries succeed and why others do not, as opposed to just investigating the average economic effects of resources. Research suggests that the manner in which resource income is spent, the system of government, institutional quality, type of resources, and early vs. late industrialization all have been used to explain successes and failures. Since 2018,
13081-559: The resource curse is the crowding out of human capital ; countries that rely on natural resource exports may tend to neglect education because they see no immediate need for it. Resource-poor economies like Singapore , Taiwan or South Korea , by contrast, spent enormous efforts on education, and this contributed in part to their economic success (see East Asian Tigers ). Other researchers, however, dispute this conclusion; they argue that natural resources generate easily taxable rents that can result in increased spending on education. However,
13208-581: The resource curse. Early Mafia activity is strongly linked to Sicilian municipalities abundant in sulphur, Sicily's most valuable export commodity. A 2017 study in the Journal of Economic History also links the emergence of the Sicilian Mafia to surging demand for oranges and lemons following the late 18th-century discovery that citrus fruits cured scurvy . A 2016 study argues that petrostates may be emboldened to act more aggressively because of
13335-450: The rest of the economy." Michael Ross describes how there are limited economic linkages with other industries in the economy. Consequently, economic diversification may be delayed or neglected by the authorities in light of the high profits that can be obtained from limited natural resources. The attempts at diversification that do occur are often white elephant public works projects which may be misguided or mismanaged. However, even when
13462-500: The rise in mineral prices over the period 1997–2010 contributed to up to 21 percent of the average country-level violence in Africa. Research shows that declining oil prices make oil-rich states less bellicose. Jeff Colgan observed that oil-rich states have a propensity to instigate international conflicts as well as to be the targets of them, which he referred to as " petro-aggression ". Arguable examples include Iraq's invasions of Iran and Kuwait; Libya's repeated incursions into Chad in
13589-464: The rule of law and popular support. Responsible use of financial hedges can mitigate that risk to some extent. Susceptibility to that volatility can be increased when governments choose to borrow heavily in foreign currency. Real exchange rate increases, through capital inflows or the "Dutch disease" can make it appear an attractive option by lowering the cost of interest payments on the foreign debt, and they may be considered more creditworthy because of
13716-491: The ruler's optimal strategy for political survival is to use that revenue to buy the loyalty of critical support groups and oppress the rest of the population by denying them civil liberties and underfunding education and infrastructure. Education, liberty, and infrastructure can make the people more productive, but they also make it easier for them to organize opposition movements. Since the ruler can obtain sufficient revenue from his country's natural resources, he has no need for
13843-454: The rulers of many states chose to accede to the Dominion of India . Changbhakar , Jashpur , Koriya , Surguja and Udaipur after that became part of the state of Madhya Pradesh , but Gangpur and Bonai became part of the state of Orissa and Kharsawan and Saraikela became part of the state of Bihar . In 1928, a separate state was demanded by Unnati Samaj , the political wing of
13970-564: The rulers permitted democratization out of necessity. The International Monetary Fund classifies 51 countries as "resource-rich," which are defined as countries that derive at least 20% of exports or 20% of fiscal revenue from nonrenewable natural resources; 29 of those countries are low- and lower-middle-income. Common characteristics of the 29 countries include (i) extreme dependence on resource wealth for fiscal revenues, export sales, or both; (ii) low saving rates; (iii) poor growth performance; and (iv) highly volatile resource revenues. There
14097-641: The separate state movement was falling apart, Justice Lal Pingley Nath Shahdeo was leading the movement. In 1998, the Union government decided to send the bill concerning the formation of the state of Jharkhand to the Bihar Legislative Assembly to which Lalu Prasad Yadav had said that the state would be divided over his dead body. A total of 16 political parties including the Bharatiya Janata Party , Jharkhand Mukti Morcha,
14224-492: The socioeconomic effects are still murky. Researchers Robert Purdue and Gregory Pavela did research on the West Virginia coal mining economy to further investigate these concerns. Their research includes data from all of West Virginia's 55 counties over a 13-year period of (1997-2009). In this research, significant ecological costs can be noted in the area which, in turn, effect the people negatively. The research also poses
14351-460: The southern part. Jharkhand envelops a geographical area of 79,716 square kilometres (30,779 sq mi). Much of Jharkhand lies on the Chota Nagpur Plateau . Many rivers pass through the Chota Nagpur plateau. They are: Damodar , North Koel , Barakar , South Koel , Sankh and Subarnarekha rivers. The higher watersheds of these rivers stretch out within the Jharkhand state. Much of
14478-407: The state has 5 Divisions and 24 Districts. One interesting thing about Jharkhand is that all its districts, except Lohardaga and Khunti, share a border with a neighbouring state. Largest Cities in Jharkhand (2011 Census of India estimate) The gross domestic product of Jharkhand is estimated at ₹ 3.83 lakh crore (US$ 46 billion) in 2020–21. The per capita GDP of Jharkhand in 2018-19
14605-544: The state's annual rainfall, which ranges from about 1,000 mm (40 in) in the west-central part of the state to more than 1,500 mm (60 in) in the southwest. Nearly half of the annual precipitation falls in July and August. The winter season lasts from November to February. The temperatures in Ranchi in December usually vary from 10–24 °C (50–75 °F). Spring season lasts from mid-February to mid-April. For
14732-426: The state, the tribal population is prevented from staking any claim on the resources extracted from their land. In response, the insurgents have recently begun a campaign of targeting infrastructure related to the extraction of resources vital for Indian energy needs, such as coal. On 5 March 2007, Sunil Mahato , a member of the national parliament, was shot dead by Naxalite rebels near Kishanpur while watching
14859-464: The term resource curse to describe how countries rich in mineral resources were unable to use that wealth to boost their economies and how, counter-intuitively, these countries had lower economic growth than countries without an abundance of natural resources. An influential 1995 study by Jeffrey Sachs and Andrew Warner found a strong correlation between natural resource abundance and poor economic growth. As of 2016, hundreds of studies have evaluated
14986-425: The thesis that resource richness adversely affects long-term economic growth. The authors noted that "approximately 40% of empirical papers finding a negative effect, 40% finding no effect, and 20% finding a positive effect" but "overall support for the resource curse hypothesis is weak when potential publication bias and method heterogeneity are taken into account." A 2018 study showed that most specifications,
15113-532: The tribal area of South Bihar, but it was rejected because there were many languages, no link language in the region, tribals were in the minority, Hindustani was the majority language, and it risked adverse effect on the economy of Bihar. Later the Sadan people , the native various caste/non-tribal groups, also joined the movement for a separate state. In 1972, Binod Bihari Mahato , Shibu Soren and A. K. Roy founded Jharkhand Mukti Morcha . Nirmal Mahto founded
15240-691: The use of Copper tools spread in Chota Nagpur Plateau and these find complexes are known as the Copper Hoard Culture . In the Kabra-Kala mound at the confluence of the Son and North Koel rivers in Palamu district various antiquities and art objects have been found which are from the Neolithic to the medieval period and pot-sherds of Redware , black and red ware , black ware, black slipped ware and NBP ware are from Chalcolithic to
15367-534: The wages of teachers relative to other workers, increasing turnover and impairing students' learning. A study on coal mining in Appalachia suggests that "the presence of coal in the Appalachian region has played a significant part in its slow pace of economic development. Our best estimates indicate that an increase of 0.5 units in the ratio of coal revenues to personal income in a county is associated with
15494-405: Was ₹ 82,430 (US$ 990). Resource curse In 1711, The Spectator noted, "It is generally observed, that in countries of the greatest plenty there is the poorest living." The idea that resources might be more of an economic curse than a blessing emerged in debates in the 1950s and the 1960s about the economic problems of low and middle-income countries. In 1993 Richard Auty first used
15621-547: Was a Nagvanshi king during medieval period. He defeated the Raksel dynasty of Surguja when they invaded the region with cavalry. Mughal influence reached Palamu during the reign of Emperor Akbar when it was conquered by Rajput Raja Mansingh in 1574. Several invasions took place during Mughal rule. During the reign of the Nagvanshi King Madhu Singh , Akbar's general invaded Khukhra . Also there
15748-659: Was an invasion during the reign of Durjan Shah . King Ram Shah ruled Navratangarh from 1640 to 1663. He built the Kapilnath Temple in 1643. He was succeeded by his son Raghunath Shah . Thakur Ani Nath Shahdeo built the Jagannath temple of Ranchi in 1691. The King Medini Ray ruled from 1658 to 1674 in Palamu. His rule extended to areas in South Gaya and Hazaribagh . He attacked Navratangarh and defeated
15875-579: Was built by the Somavamshi dynasty / Keshari dynasty of Odisha . This temple was built in Odishan temple architecture . It is traditionally believed to be about 3,000 years old and is mentioned in the Utkala Khanda of Skandha Purana. It is believed that all the wishes made here are fulfilled, and Lord Shiva blesses his devotees by fulfilling their wishes. Every year during February or March on
16002-760: Was known as Jharkhand. In Akbarnama , from Panchet in the east to Ratanpur to west, Rohtasgarh to the north and the frontier of Odisha to the south was known as Jharkhand. The region has been inhabited since the Mesolithic-Chalcolithic period, as shown by several ancient cave paintings. Stone tools have been discovered from Chota Nagpur Plateau region which are from the Mesolithic and Neolithic periods. There are ancient cave paintings in Isko, Hazaribagh district which are from Meso-chalcolithic period (9000–5000 BCE). During 2nd millennium BCE
16129-552: Was then led by Congress General Secretary Ram Ratan Ram , who urged Rajiv Gandhi to pay attention to the issue at hand. In July 1988, the Bharatiya Janata party led by Atal Bihari Vajpayee , Lal Krishna Advani , and Murli Manohar Joshi decided to demand a separate state, Vanachal, comprising the forest region of South Bihar in Jamshedpur . Inder Singh Namdhari , Samresh Singh , and Rudra Pratap Sarangi were
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