Resource-rich countries often face unique challenges that can lead to autocratic leadership, low economic growth, and inequality. While wars tend to happen more frequently in countries that heavily rely on commodity money, there are exceptions to this trend. Countries like Norway, Australia, Canada, Chile, and Botswana have demonstrated that resource wealth can lead to prosperity and democracy. However, examples like Iran and Russia show that a small elite benefits from the wealth generated by natural resources while the general population struggles.
To make the exceptions the rule, resource-rich countries need to address issues related to political institutions, corruption, and the diversion of resource revenues towards long-term prosperity. Civil society plays a crucial role in demanding transparency and accountability from political leaders. By investing in diversification of the economy and ensuring that resource revenues benefit the entire population, countries can escape the resource curse and build a more stable and prosperous future.