CHILES RESOURCE SECTORS - CHALLENGES AND OPPORTUNITIES IN THE 1990S

Chilean economic reforms, introduced in the 1970s and early 1980s, discarded decades of state intervention in the economy, but were accompanied by considerable economic pain and social stress from domestic and international sources. In the 1990s, Chile, supported by a competitive micro-economy, a stable macro-economy, strong linkages with the world economy and the return to democratic government, is exploiting its world-class resource sectors to propel economic growth in order to address social problems. However, the prospects for raising living standards in Chile and other resource-exporting developing countries are critically dependent on a favourable external environment.