MINING MULTINATIONALS AND DEVELOPING-COUNTRIES - THEORY AND PRACTICE IN PAPUA-NEW-GUINEA

The theoretical approaches to the role of multinational mining operati ons in developing countries are examined in the light of the experienc e of Papua New Guinea. Existing theories tend to focus dn the nation-s tate level, and it is argued that regional and local factors are conse quently relatively ignored. The importance of the interactions between groups working at different geographic scales within Papua New Guinea is highlighted. Impacts of the mining industry (economic, political, social and environmental) at the various scales are briefly described and the responses to these impacts discussed. It is found that the gre atest social and environmental costs fall on the local population arou nd the mine sites, while economic and political benefits are concentra ted at the national and international scales. Finally, a model of the multinational-developing country relationship is proposed to take acco unt of the influence of local and regional actors.