Local Effects of Artisanal Mining: Empirical Evidence from Ghana

I estimate of local economic and environmental effects of artisanal and small-scale gold mining (ASM) in Ghana. For that purpose I use a novel dataset on the geolocation of artisanal gold mines based on machine learning techniques and satellite imagery. ASM is an informal, low-tech, but highly labour-intensive form of resource extraction that is typically associated with environmental and health damages, social problems and poverty. In contrast to common perception, I find that one additional artisanal mine increases nearby household per-capita income by 0.2 percent, which is driven by non agricultural income sources. Other indicators of economic development point in the same direction: In artisanal mining areas more households have access to electricity, more individuals are literate and fewer people work in agriculture. On the other hand, conventional large-scale mining does not show any local economic impacts. From an environmental perspective, both small- and large-scale mining contribute to forest cover loss. In a context where reliable data is scarce, the evidence shown here thus provides a more nuanced view on local effects of artisanal mining.

Additional Info

Author(s)
M Guenther
Publication Year
2018
Language
English
Publishing Institution Webpage
https://www.royalholloway.ac.uk/
Data Source Classification
Conference Presentation
Research Type
Both
Research Methodology
Primary - INTERVIEW, Primary - OBSERVATION, Secondary - PREVIOUS RESEARCH, Primary - ANECDOTAL
Thematic Tags
Social, Livelihoods, Environmental, Mercury
Minerals
Gold
Region
Sub-Saharan Africa
Country
Ghana
Last Updated
October 2, 2019