Natural Resources and Economic Development in the Western Regions of China

Abstract

This paper examines the impact of natural resources on economic development in western China. The provincial panel data from 2005 to 2016 were analyzed using time series analysis and fixed effect regression models. It reveals the correlation between natural resources and economic development in the western region. The results show that water resources, cultivated land resources, natural resource reserves and natural resource development are positively related to economic development; forest resources are negatively correlated with economic development. Studies have shown that water resources, cultivated land resources, natural resource reserves and natural resource development have played a certain role in promoting economic development in the western region, while forest resources have hindered economic development in the western region.

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